0DWP ‘blunt’ warning for 4m people in UK from minister – key details | Wales Online Follow walesonline:
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Pensions minister Torsten Bell issued the alert this week as a new report also warned too many people were being left out
Senior DWP minister issues warning to millions – what you need to know:
- Pensions minister Torsten Bell has issued a warning to millions of UK workers.
- The Swansea West MP delivered his message to self-employed people in his latest newsletter, as he said: “The blunt truth is that collectively we are not saving enough to ensure that today’s workers, tomorrow’s pensioners, have a comfortable retirement.”
- Bell warned that people retiring in 2050 could face private pension incomes 8% lower than current retired people.
- The warning comes as over 4 million self-employed workers across the UK fall outside the automatic enrolment system. The Society of Pension Professionals has highlighted this crisis in a new report titled ‘The Missing Millions’, noting there is “no equivalent workplace default, no employer contribution and no payroll mechanism to make saving effortless” for the self-employed.
- Currently, 15 million people are under-saving for retirement, a figure that could reach 19 million without urgent action, the Pensions Commission has warned.
- Bell explained: “For every £1 the worker saves they get £4 back in retirement… Compound interest is a wonderful thing.”
- The minister pledged that the government would act on the Pensions Commission’s recommendations to address what he described as a decades-long savings challenge.
- READ THE FULL STORY: DWP ‘blunt truth’ pension warning issued to 4 million people in UK by minister
