17 May 2006
Self-employed people get a raw deal from the pensions system,
according to new research published by the Association of British
Insurers.
The ABI believes the Government should:
Make self-employed people eligible for the State Second Pension
by increasing their NI contributions;
Automatically enrol self-employed people into a new, low cost
savings scheme;
Provide better information about the importance of saving for
retirement through self-employment packs; and
Index the Basic State Pension to earnings (as proposed by the
Pensions Commission).
Helen McCarthy, the ABI's Head of Pensions and Savings
Development, said: "Self-employed people make up one-eighth of the
workforce, but a quarter of all UK non-savers. The pension system
must be made fairer for self-employed people, and the White Paper
on pension reform should deliver this."
