Govt urged to link ISAs and pensions

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Young people must have simpler and more flexible options to save made clear to them, says Fair Investment.

George Ladds, head of investment and pension research, says the UK's youth are "bewildered" by pensions and do not make retirement saving a priority, even though the basic state pension is only £5,000 per year. He adds whilst young people may not understand or like pensions, they may find ISAs more accessible, and this option needs to be explained to them. "Saving just £50 a month at a young age can make a big difference," Ladds says. "All the investments are invested in a fund that has the same tax benefits as a pension fund, so they grow in a similar way.The big difference is in ...

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