Bookmark and Share
20/06/2005

Pensions coalition calls for ‘fair deal’

A new coalition is calling on the new government to deliver a new ‘fair deal’ on pensions.

Four organisations – the Trades Union Congress (TUC), Age Concern, Help the Aged and consumer watchdog Which? – have joined together to form the People’s Pensions Coalition to campaign for fair pensions reform.

A statement released by the new coalition, warned that Britain was heading towards a “pensions crisis”.

The Pensions Commission is currently examining the pensions system and exploring possible changes. Work and Pensions secretary David Blunkett has also not ruled out the possibility of introducing compulsory saving towards pensions. However, the People’s Pensions Coalition warned that most people could not afford to save for a pension, while those that can are not saving enough.

The coalition said that everyone should be able to depend on state pension provision, which “lifts pensioners above the poverty line”. The pension system also needed to be fairer for women, the coalition added, and should be based on the idea of everyone building up their own independent pensions entitlement.

The coalition also said that employers and employees should contribute to a pension, which would provide an additional pension on top of the state pension.

However, a survey published by the British Chambers of Commerce (BCC) last week found that one in five firms would cut jobs if they were forced to pay into pension schemes for their employees. The BCC warned that forcing employers to pay into pension schemes for their staff would increase the cost of employing someone and force some firms to reduce their workforce in order to meet the cost.

Commenting on the new coalition, Mervyn Kohler, head of public affairs at Help the Aged, said: “The existing state pension system is failing to protect pensioners from poverty and does not provide a firm foundation for saving.

“The People’s Pension Coalition will work to convince the government that fudging the necessary decisions on pensions reform will not solve the pensions crisis. The government now has an obligation to ensure a decent retirement for both today’s and tomorrow’s pensioners.”

(KMcA/CL)




Related UK National News Stories
Click here for the latest headlines.

25 May 2006
Retirement age to rise to 68
The state pension age is to rise to 68, under new pension proposals announced by the government today. The government's White Paper on pensions reform said that the state pension age will be increased gradually, rising to 66 between 2024 and 2026, then 67 between 2034 and 2036 and finally 68 between 2044 and 2046.
20 February 2006
CBI warns employer compulsion is wrong answer
The CBI today has unveiled proposals to help tackle the UK's emerging pensions crisis without compelling business to contribute to staff pension schemes. The employers' organisation argued, in its submission to the Government, that enrolment without compulsion is the best way of increasing pensions saving without undermining existing provision.
25 July 2005
Pension Age 'should rise to 67'
The pension age in the UK should be raised to 67, a report by the Institute for Public Policy Research (IPPR) has suggested.
29 July 2003
Majority of people have scant knowledge of pensions
Research published today by the Department for Work and Pensions suggests that around half the population has little or no knowledge of pension provision. The research looked at private pension provision among people of working age in Britain and collected information on people's attitudes towards pensions and saving for retirement.
15 April 2005
Conservatives pledge to 'simplify' pension rules
The Conservatives have unveiled proposals to “reduce and simplify complex pensions rules” and promised to encourage more firms to provide pension schemes for workers.
07 April 2005
Pension Protection Fund launches
A scheme to protect employees' pension schemes in the event of their employer declaring bankruptcy has been launched.
12 September 2005
TUC seeks 'compulsory' pension contributions
The TUC is to outline a blueprint for the future of pensions at the annual Congress being held this week in a proposal that will place an obligation on both employers and employees to contribute to a pension.
11 June 2004
Changes needed to alleviate 'pensions crisis', says TUC
Large numbers of young people face poverty in retirement unless big changes are made to pensions law and young people wake up to their pensions plight, the TUC has warned today.
14 September 2007
Workers Warned On 'Forgotten Pensions'
Over half of UK adults have no idea how much money they've built up in pension schemes, while one in six people have no details of where their money is saved, government research has revealed. Findings published by government website Directgov show that a substantial number of people are failing to keep track of pensions savings.
07 September 2004
Pensions Secretary quits government
The Work and Pensions Secretary Andrew Smith has resigned from the Cabinet, saying he quit in order to commit more time to his constituency and spend more time with his family.
06 July 2011
Radical Pension Changes To Affect Local Businesses
Private sector employers need to take action now to prepare for a significant overhaul of employee pension provision or face playing catch up on one of the biggest issues to impact the business community for decades, according to a leading UK pension’s expert.
07 November 2013
Govt Sets Out Proposals To Reshape Workplace Pension
The government is setting out a range of proposals to reshape workplace pensions for future generations. These are designed to create more certainty for individuals, share investment risks more equally, and help employers to keep offering the best possible workplace pensions.
30 November 2005
Mixed reaction to pensions report
Today's Pensions Commission report has been hailed by the government and opposition leaders but fiercely criticised by both businesses and trade unions. The review proposed a gradual rise in the state pension age to 68, as well as the introduction of a national pension saving scheme and a rise in payments linked to earnings, rather than prices.
07 October 2010
Higher Contributions For Public Pensions Loom
An independent commission led by Lord Hutton, recommends that members of public sector pension schemes should pay higher contributions. The commission set up the initial recommendation to consider ways to cut the rising cost of public sector pension schemes.
13 August 2004
Stakeholder pensions are failing low-pay workers, TUC claim
Low paid workers are not getting the benefit of stakeholder pensions as employers are not contributing enough to make any headway in staving off Britain's looming pensions crisis, the Trades Union Congress (TUC) has claimed.