The revival of mastertrusts for occupational pension schemes has stirred up old arguments in the run-up to auto-enrolment.

Steve Goddard, managing director of Goddard Perry, which runs the Pensions Master Trust, said: "Mastertrusts offer employers lower-cost pension provision while maintaining some control over the scheme, which is lost under a contract-based arrangement."

But employers are warned to look closely at the investments contained within a mastertrust, because cheap doesn't always mean best value for members.

Mike Morrison, head of pensions development at Axa Wealth, said these structures were often simple and one-size-fits-all, which may not suit everyone.

"Passive trackers are probably a good start, but something else is needed to soften the hard edges for members."

Read more Workplace Savings news