| The Pensions Policy Institute (PPI) has | | | | dependant on state pensions. |
| issued a report which supports the Pension | | | | |
| Commission's recent demand for reform in the | | | | Personal finance has become a boom sector |
| structure of the basic state pension. In fact | | | | amongst that same generation, with online |
| the report goes further than simply backing | | | | access to personal finance databases such as |
| the report, it calls for reforms to be | | | | Moneynet ( ) and Motley Fool ( ) providing a |
| implemented more rapidly than the Commission | | | | wealth of options for UK consumers. However |
| has recommended. | | | | despite the fact that many of those options |
| | | | include savings and pension schemes, it |
| Essentially, the reforms that are proposed | | | | appears that they are rarely taken up, with |
| are for simplifications to be made to the | | | | consumers opting for credit card deals, |
| current variations in available state | | | | mortgages, insurance, and personal loans |
| pensions for those who are eligible. Means | | | | instead. |
| testing, currently used in determining | | | | |
| eligibility and the extent of the pension | | | | Pension experts have showed their backing for |
| available, would be dropped in favour of an | | | | the proposed Pension Commission reforms with |
| across the board pension rate. Additionally, | | | | their overwhelming response in the PPI |
| tax breaks for those who try to save for a | | | | report, and it is to be hoped that the |
| personal pension would be put in place to | | | | simplifying of the state pension will bring |
| encourage saving. | | | | the importance of the issue to the attention |
| | | | of the age range identified by the FSA. |
| These reforms would serve to make pension | | | | |
| availability, and budgeting for retirement, | | | | Disclaimer |
| much clearer to understand and buy into, | | | | |
| thereby preventing nasty surprises for the | | | | All information contained in this article is |
| individual late in life, or the government as | | | | for general information purpose only and |
| a generation becomes dependant on a state | | | | should not be construed as advice under the |
| pension. A recent survey by the Financial | | | | financial Services act 1986. You are strongly |
| Services Authority (FSA) concluded that very | | | | advised to take appropriate professional and |
| little provision is being made for the future | | | | legal advice before entering into any binding |
| by those aged 18-40 and that a very large | | | | contracts. |
| number of UK citizens could well become | | | | |