Mixed response to personal accounts

While the Department for Work and Pensions (DWP) claimed in its White Paper consultation response most consultees support the idea, some new issues have been raised. Concern centres on the cap on annual contributions to the scheme. The Pensions Commission originally recommended £3,000, the white paper suggested £5,000, and today the cap has been revealed as £3,600. IFA firm Punter Southall said the cap was unrealistic. A spokesman says: “The Government’s response indicates that only 2% of people earning less than £15,000 and 13% of those earning between £15,000 and £30,000 currentl...