Government must act on MPs' warning that savers will be "ripped off", says TUC

10 March 2015

Commenting on the publication today (Tuesday) by the Work and Pensions Committee of a report on the new pension flexibilities that commence in April 2015, TUC General Secretary Frances O’Grady said:

“The Committee is right to warn that savers are at risk of being “ripped off” in a new pensions scandal after George Osborne rushed through radical reforms with little thought of the consequences.

“With new pension freedoms starting in less than a month we cannot afford to let savers get stung by excessive charges. The government must seriously consider the proposal from Which? for the urgent introduction of a drawdown charge cap.

“It is welcome that the Committee adds its voice to calls for a new pensions commission to bring back long-term thinking and consensus-building to pensions policy-making. The Committee sets out a useful to-do list for the next pensions minister, including the vital tasks of bringing more low earners into pensions auto-enrolment and increasing pension contributions.”

NOTES TO EDITORS:

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