Howard Flight MP has slammed Government plans for the Lifelong Individual Savings Account despite his avowed support for similar US 401k pension plans.
Flight, the joint chairman of Investec Guinness Flight, used last week's Welfare Reform and Pensions bill debate to hit out at the missed opportunity for a "rationalisation and reform of pensions".
A key concern is that the Lisa does not provide a straight forward income drawdown alternative to an annuity, something that US plans allow.
He told the Commons: "The question of annuities has been completely ignored. The route down which we are going will vastly increase money purchase schemes. There is an overwhelming argument for scrapping the compulsion to buy an annuity at 75 and reforming the drawdown rules."
Flight also hit out at the lack of detail on how Lisa will "plug in" to other forms of pensions and contrasted the confusion of "two extra complications" with the simplicity of the US.