Members' Research Service By / October 9, 2017

Framework for a pan-European personal pension product (PEPP) [EU Legislation in Progress]

Europe’s population is ageing, due to people living longer and having fewer children, putting increased pressure on pension systems.

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Written by Monika Kiss (3rd edition, updated on 26.8.2019),

Pan European personal pensionac
© / Shutterstock

Europe’s population is ageing, due to people living longer and having fewer children, putting pressure on pension systems and leading to reforms to make public pensions more sustainable – and often less generous – in future. To support retirement incomes, the European Commission’s 2012 pensions white paper called for more opportunities for citizens to save in safe and good-value complementary pensions.

The aim of the proposed framework for a pan-European personal pension product (PEPP) was to encourage the development of personal (voluntary, individually funded) pensions in Europe, to support retirement saving and strengthen the single market for capital by making more funds available for investment. Generally the proposal was considered a welcome extra option to support retirement savings and investment. However differing national pension systems and tax treatments were noted as challenges, although the Commission also issued an accompanying tax recommendation. Following trilogue negotiations, an agreement was reached on the legislative proposal. It was subsequently approved by the Parliament on 4 April 2019 and by the Council on 14 June 2019. The final act was signed on 20 June 2019.

Interactive PDF

Proposal for a Regulation of the European Parliament and of the Council on the law applicable to the third-party effects of assignments of claims
Committee responsible: Economic and Monetary Affairs (ECON) COM(2017) 343
Rapporteur: Sophia in ‘t Veld (ALDE, The Netherlands) 2017/0143 (COD)
Shadow rapporteurs:




Brian Hayes (EPP, Ireland)
Renato Soru (S&D, Italy)
Ashley Fox (ECR, United Kingdom)
Martin Schirdewan (GUE/NGL, Germany)
Bas Eickhout (Greens/EFA, The Netherlands)
Gerolf Annemans (ENF, Belgium)
Ordinary legislative procedure (COD) (Parliament and Council on equal footing – formerly ‘co-decision’)
Procedure completed. Regulation (EU) 2019/1238

OJ L 198, 25.7.2019, pp. 1-63  


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