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Responding to the Autumn Budget, Darren Philp, director of policy at The People’s Pension, said:
“With an ageing population and 14 million Brits unlikely to have enough to live on in retirement, the Chancellor’s lack of action to support long-term savers is incredibly disappointing.
“Year on year ahead of the Budget there is constant speculation about reform of pensions tax relief, a system that is now on borrowed time, yet we continue to see no action. The current system is unfair for lower earners and so unclear that most people are not aware of the benefit. A flat rate system, set at between 25-30% and presented as a simple bonus or top-up, would have made a firm statement in support of auto-enrolment and helped more people to save for the future.
“It is also disappointing that with the auto-enrolment review approaching, the Chancellor missed the perfect opportunity to outline the government’s intent, and show its commitment to the seven million people who are currently excluded from the scheme.”
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The People’s Pension is the largest private sector master trust (multi-employer pension scheme) in the UK, with 3 million members and over 65,000 employers signed up. Run by B&CE, a not for profit company, it offers a simple and low cost automatic enrolment workplace pension solution for employers of any size from any sector. We tweet as @peoplespension.