Shadow pensions minister Gregg McClymont has warned the Government plans to accelerate the rise in the state pension age will undermine public confidence in saving policy.
Amendments to the Pensions Bill announced earlier this month scale back the timetable for increasing the state pension to 66 by six months to October 2020 due to concerns over the impact the decision would have on some women.
Speaking at the NAPF conference today, McClymont said the DWP’s decision to cap the rise at 18 months undermines the credibility of UK pensions.
He said: “This is an issue of fairness but it is also an issue of the pension system’s credibility. How can we expect to encourage pension saving if there is uncertainty in peoples’ minds about the rules of the game?
“The Pensions Policy Institute has been clear that 10 years’ notice should be given for changes such as these.”