Personal accounts rebranded as NEST

It cost £363,000 (US$581,014) to come up with the new branding. The logo cost £8,000 alone.

Pensions minister Angela Eagle announced the name of the scheme at its London headquarters today.

She said: "This government's radical reforms to the pensions system will ensure millions of workers on low and moderate incomes are able to save for their retirement in a workplace pension with a new guaranteed minimum contribution from their employer.

"NEST will play a key role in this and help transform attitudes to saving."

The NEST Corporation will be the name of the trustee body running the scheme.

NEST is the scheme being introduced, in stages, from October 2012. The government implemented scheme is being created to provide a low-cost, independent, workplace pension scheme which any employer can access.

The government created the scheme to give millions of mainly low to middle income workers access to an employer sponsored scheme.

NEST accompanies the introduction of auto-enrolment into a qualifying workplace pension scheme from 2012.

PADA Chief Executive Tim Jones said: "We need a brand which will resonate with the scheme's potential members; with NEST we believe we will achieve that.

"We have followed a detailed, research-based process to ensure this will be a brand designed ‘by members, for members'. NEST is clearly favoured by both potential members and employers."

National Association of Pensions Funds cheif executive Joanne Segars said: "We all need a pensions nest egg to enjoy a comfortable retirement. Already almost 12 million people are saving in a workplace pension with contributions from their employer.

"Today's announcement brings us a step closer to the 2012 reforms when nearly all working people, especially those on low and moderate incomes, will be given this opportunity."

Hargreaves Lansdown head of pensions research Tom McPhail added: "I am optimistic that NEST will have a positive impact on the UK's retirement savings and that it will help millions of non-savers to build up a decent retirement pot.'

"The key message is don't delay. Enrolment into NEST won't be fully up and running until 2017 and every year of delay means a lower eventual pension. Don't wait for your employer or the government to take the initiative, start saving for retirement today."

Standard Life head of pensions policy John Lawson commented: "Standard Life strongly supports the 2012 pension reforms which will improve retirement savings for millions of people. We also recognise that private sector schemes cannot commercially serve the whole market.

"NEST, which will concentrate on lower-to-moderate earners, is therefore a necessary part of the bigger reform picture. Regardless of which pension scheme people are enrolled into, they will start to build up a useful nest-egg for their later years.'

Association of British Insurers acting director general Maggie Craig said she was pleased with the new name.

However, she stressed: "This new branding must now be a springboard for action. We have for some time stressed the need for an extensive national communications campaign to increase awareness and understanding of pension saving.

"This would ensure that many more individuals can be helped to build a real nest egg for their retirement. There is little time to lose before the scheme is due to start in 2012."

Five key facts about NEST:

* NEST is the permanent name of the new national workplace pension scheme being launched in 2011 that is designed to meet the needs of low-to-moderate earners and their employers.

* NEST will be one of the schemes employers can use to fulfil new duties under the workplace pension reforms due to come into effect from 2012.

* NEST will be a low cost, easy to use, online pension scheme that is open to any employer.

* NEST will be run by a not-for-profit trustee corporation called NEST Corporation.

* NEST's name and logo were developed after an extensive programme of research that involved more than 3,200 jobholders, employers and people who advise employers about pensions.