Election analysis – Pensions

The first chapter in the UK's pensions' history starts in the late 17th century where pension provision was made available to Royal Navy Officers. This is an early marker of the paternalistic approach that has run through the UK's pensions' history and is still evidenced today: employers help their employees to save for their retirement by offering incentives in the form of matched contributions. The Government helps individuals to save for their future through tax and NI incentives.

The Treasury recently stated 'the Government provides pensions tax relief to encourage and support pension saving to help individuals produce an income in retirement.' The Treasury also acknowledged that this is in recognition of pensions being 'less flexible than other forms of saving'. Before considering how pensions might change under the next Government it is worth recapping on the pension...