Lord Fowler is calling for the Government to offer a series of grants to the victims of pension scheme wind-ups.
Speaking in the Lords last week, the former Tory party chairman called for positive action to address the problems facing 60,000 pensioners whose company schemes have folded.
He reminded the Lords of the compensation awarded to railway workers through his 1980 Transport Act when it became clear the British Rail fund had a substantial deficit.
Fowler wants to see cross-party co-operation to agree compensation to wind-up victims for a limited period of time.
He said: “I think that natural justice demands we should seek to help men and women who have saved for their retirement and done everything that successive Governments have asked them to do. But I advocate that course for another reason – there is an urgent need to restore confidence.”