Up to 50,000 jobs in the life and pensions sector are at risk from the Turner report’s recommendations says consultancy Deloitte and Touche.
According to its research the life and pensions industry could lose 30 per cent of its revenue as a result of the changes.
Deloitte also says the implementation of the National Pensions Saving Scheme could have a knock-on effect on the industry’s ability to offer other capital intensive savings products such as annuities.
ABI director of life and pensions Chris Kenney says: “These are proposals and no more. We know the government wants sustainable solutions and it seems to us that one aspect of this is a life and pensions industry that offers competitive choice. We are a long way from having people sent P45s in the post.”