The new Bill introduced by the Department for Work and Pensions today has several flaws which undermine commitments to simplicity and security into long-term savings, the Conservative Party says in a statement just released.
The main criticism is that the Bill does nothing to introduce incentives for employers to retain existing pension schemes or offer new ones. Shadow pensions minister Nigel Waterson says:” The Bill does nothing to help individuals planning for their retirement.” Other criticisms focus on means testing , the pensions protection fund, MFR and annuities. Means testing will not persuade people to save more, while the protection fund could doom the government to open ended spending to make the scheme sustainable. By not linking premiums paid to the protection fund to risk, it means "...
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