Revival of Pensions Commission to Address Pensioner Poverty and Reform Retirement Savings
The Department of Work and Pensions (DWP) has announced the revival of the Pensions Commission to examine the alarming trend of pensioner poverty and make recommendations for change. Automatic enrolment has reversed the decline in retirement savings, but the number of people saving for retirement remains a concern. The new commission will address changes in the pension landscape, including increased renting among pensioners and the rise of self-employment.
Key Takeaways:
- The Department of Work and Pensions (DWP) will revive the Pensions Commission to examine pensioner poverty and make recommendations for change.
- Automatic enrolment has reversed the decline in the number of people saving for retirement, but further action is needed to prevent tomorrow's pensioners from being poorer than today's.
- The Pensions Commission will address changes in the pension landscape, including increased renting among pensioners and the rise in self-employment.
- Yvonne Braun, Director of Long-Term Savings Policy at the Association of British Insurers (ABI), welcomes the announcement and highlights the need for further action to prevent pensioner poverty.
- The new commission aims to build on the progress of its predecessor 20 years ago and shape a new pensions settlement that endures for the long term.
Statistics:
- Automatic enrolment has reversed the decline in the number of people saving for retirement, but further action is needed to prevent tomorrow's pensioners from being poorer than today's.
- 20 years ago, the first Pensions Commission made recommendations that have contributed to the current pension landscape.
- The number of pensioners renting in larger numbers has increased, impacting retirement finances.
- Self-employment has risen, which also impacts people's retirement finances.
Sources:
- Association of British Insurers (2017)
- Department of Work and Pensions (original press release)