Pensions system places too much risk on individuals - IFS

Director Paul Johnson's warnings

clock • 2 min read

Workplace pensions look more like individual savings pots as too much risk is loaded onto members, Institute for Fiscal Studies (IFS) director Paul Johnson is set to warn.

Johnson, who is due to speak at a lecture tonight marking the Government Actuary's Department's centenary, will argue while current pensioners are on average better off than ever and the introduction of auto-enrolment (AE) is drastically boosting workplace pension savings, not everything is working well in the pensions industry. In his speech, Johnson will praise AE, mentioning the high volumes of members in employer-sponsored pension schemes, with seven in 10 now in these schemes. However, he will criticise low contribution rates and warn that defined contribution schemes "place all ris...

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

Women's pensions: Why the gender savings gap opens at age 28

Women's pensions: Why the gender savings gap opens at age 28

Women in their late 50s hold 48% less in their pension than men

Rachel Vahey
clock 11 June 2026 • 3 min read
DC pension pot growth points to increased fraud risk, pensions minister warns

DC pension pot growth points to increased fraud risk, pensions minister warns

Torsten Bell says expanding DC pots will attract increased fraudster attention

Martin Richmond
clock 11 June 2026 • 2 min read
Revised transfer regs widely backed but industry calls for 'clear and practical' guidance

Revised transfer regs widely backed but industry calls for 'clear and practical' guidance

DWP makes key changes to traffic-light transfer conditions

Jonathan Stapleton
clock 10 June 2026 • 7 min read