Labour leader Ed Miliband has heaped more pressure on the pensions industry by calling for a 1 per cent cap on charges.
According to the Guardian, Miliband (pictured) told delegates in Manchester that pension companies take “thousands of pounds in hidden fees and charges” from retirement funds.
He said: “What’s been happening is while you were saving, the company which was supposed to be helping you, the company you trusted, has actually been taking thousands of pounds out in hidden fees and charges.
“If we win the next election, we will make sure that no pension company can take too much out of your pension. A strict cap on pension fees.”
He described the measure as the “first shots in the all-out attack I want to launch on the way the rules of our economy now appear to be stacked against you”.
This is not the first time Miliband has targeted pensions this year. In July, the Labour leader pledged to tackle the “massive, massive issue” of high charges.
At the time Miliband was widely criticised by the pensions industry for “scaremongering”, while pensions minister Steve Webb accused him of attempting to “stir up cheap headlines” over charges at the expense of pension customers.