Nest Sidecar Savings Trial: Lessons for Chile from the "Jars" Strategy to Promote Voluntary Pension Saving in the United Kingdom

Abstract

This article describes the "Sidecar Savings" voluntary savings program and its experience with the implementation of the "Jars" pilot version. In a single product, Jars combines an emergency savings account, with no restrictions on withdrawals, and a traditional pension savings account that does not allow withdrawals. This innovation aims to improve people's well-being by promoting the accumulation of savings that enable them to better address their short- and long-term needs. The article closes with two reflections. First, the "Jars" product contains elements that could improve the design of Collective Voluntary Pension Savings (APVC). Second, creating a pension intelligence unit similar to "Nest Insight" would help improve the development and testing of initiatives aimed at increasing savings and improving pensions.