Phased in employer contributions risk 'undermining' personal accounts

clock

The Labour party's proposal to phase in employers' contributions to personal accounts until 2016 "undermines" the whole project, the Conservatives say.

Speaking at Politeia's anniversary address 2009, the Conservative work and pensions spokeswoman Theresa May said the current government's proposal for phasing in employers' contributions meant it would very likely take until 2016 to reach the full 3%. She said: "The employer contribution could be 1% for a few years - as late as 2015. A slow start such as this could undermine the project." May said if the Conservative party was elected it would introduce personal accounts on a voluntary basis before 2012, with an opt-out option, in order to prevent discrepancies before it was fully int...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Why the real problems of the pensions dashboard are yet to start

Why the real problems of the pensions dashboard are yet to start

'Its aims seem not only less relevant but potentially problematic'

James Floyd
clock 23 June 2025 • 5 min read
Turning data into dialogue: Helping clients visualise retirement realities

Turning data into dialogue: Helping clients visualise retirement realities

'Data is more than just a collection of figures, it's a powerful tool for engagement'

Joshua Croft
clock 20 June 2025 • 3 min read
Average pension transfer took just 11 days at tax year-end

Average pension transfer took just 11 days at tax year-end

Origo says transfer times decreased around tax year-end with half taking seven days or less

Jasmine Urquhart
clock 17 June 2025 • 2 min read