Savings: Field calls for compulsory pensions

Sarah Schaefer
Sunday 23 October 2011 07:22

FRANK FIELD, former Welfare Reform minister, called yesterday for compulsory stakeholder second pensions, linked to average earnings, to end the "two nations in retirement" in Britain.

Ahead of the long-awaitedGreen Paper on pensions reform, Mr Field argued there should be pensions for all people in work aged 20 and over, with a guaranteed 30 per cent of average earnings for single pensioners once they retired.

Tony Blair hinted last week that the pensions system was likely to be fundamentally reformed and Alistair Darling, the Secretary of State for Social Security, has spoken out in favour of stakeholder pensions.

Introducing his Stakeholder Pension Bill, which was given a formal first reading by 36 votes to one, Mr Field said under his measure the pensions would include special provisions for the poor and those who were not part of the labour market such as carers and parents looking after children under five years old.

The Bill has no chance of becoming law because of a lack of parliamentary time.

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