Pension funds should build homes - Moda Living

Minister suggested dipping into pots

Hannah Godfrey
clock • 2 min read

Rather than allow first-home buyers to dip into their retirement savings, pension funds should be encouraged to build homes for rent, property development firm Moda Living has said.

Last month housing secretary James Brokenshire suggested young people should be allowed to use their pension to get onto the housing ladder. The idea was broadly met with criticism from the industry, with the likes of AJ Bell senior analyst Tom Selby labelling it "dangerous political short-termism". This weekend, however, the Sunday Times revealed Scottish Widows had been considering a similar plan, which the life giant insisted was "workable" and would encourage an estimated 3.5m people over the age of 30 to save more. The idea was feasible, the pension provider claimed, if savers pu...

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