Pensions Minister Opposes Radical Shake-up

Pensions minister Ros Altmann has cautioned against a major overhaul of pensions tax relief, as speculation mounts that George Osborne is set to scrap the current system in favour of a “pension Isa”. Such a move would mean high-rate taxpayers would miss out on tax perks during their working lives, although they will be able to withdraw their lifetime savings tax-free after retirement. But Baroness Altmann said the plans threaten to undermine the system by removing the tax incentives for pensioners to keep money in their pot. The pensions industry is also said to oppose the pension Isa, predicting it would prompt bureaucratic upheaval and create confusion among savers. Elsewhere, former pensions minister Steve Webb writes to the Times to argue that the chancellor has a choice – “he can raise billions to fund the deficit or he can revitalise our savings culture, but he cannot do both.”

The Daily Telegraph, Page: 1, 2   Financial Times, Page: 1   Financial Times   Daily Mail, Page: 6   The Times, Page: 32

Posted on March 4th 2016

Loading... Updating page...