UK Parliament / Open data

Pension Schemes Bill

Proceeding contribution from Lord Newby (Liberal Democrat) in the House of Lords on Tuesday, 16 December 2014. It occurred during Debate on bills on Pension Schemes Bill.

My Lords, I think that the strong take-up of auto-enrolment suggests that people are actually a bit more long-sighted than they are sometimes given credit for. Young people in their 20s and early 30s who are thinking about their pension savings are looking at what kind of value for money they can get from doing that as opposed to putting their money into alternative forms of saving. So I am not sure that I altogether agree with the noble Baroness.

The noble Lord, Lord Hutton, said that the Government should strongly encourage partial annuitisation. We have always been clear that an annuity will remain the right choice for many at some point in their retirement because it can provide the security that they are looking for. He also asked about inheritance tax. I can say that the intention of the legislation is that the scheme administrator will retain some discretion over how death benefits are paid, ensuring that these benefits can remain outside the scope of inheritance tax.

Type
Proceeding contribution
Reference
758 c162 
Session
2014-15
Chamber / Committee
House of Lords chamber
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