29 March 2010
The National Association of Pension Funds (NAPF) has launched
"Fit for the future - NAPF's vision for pensions" which it believes
could lift two million pensioners out of means-tested benefits
through a simpler state pension system. The report's main proposals
include:
- The creation of "The Foundation Pension", a simpler state
pension worth £8,000 a year, giving people a pension worth
one-third average earnings;
- Developing innovative workplace pensions and the possibility of
increasing the statutory minimum contributions from 8 per cent to
11 per cent;
- Creating a permanent independent Retirement Savings Commission
which would take politics out of pensions.
NAPF Chief Executive Joanne Segars said: "Our proposals are
designed to create a pension system which is fit for the
21st century. They increase the value of the state
pension for everyone, radically reduce concerns over means-testing,
and increase the value and quality of workplace pensions. The
Government's 2012 reforms are a major step forward and our
proposals complete the task."
