We have to address problems with the Gender Pension Gap, self-employed pensions and carers

The government’s Pension Commission has published an interim report looking at the future priorities for provision in people’s old age.

Among some of the findings were that women have around half the value of pensions savings when they retire, provision for self-employed people is hopelessly inadequate, and not enough is being done to take account of people with caring responsibilities. Overall there is a worryingly low amount of pensions saving happening meaning a lot of people are going to have inadequate incomes in their retirement.

Steve Thomas, Deputy General Secretary of Prospect, said:

“The interim report of the Pension Commission highlights the importance and urgency of addressing the problems facing different groups in their retirement.

“The starkest problem is the Gender Pension Gap which Prospect has been reporting on for years with government only recently cottoning on to the seriousness of the situation. With estimates of the gap varying from more than 30% to almost 50% the government must use the findings of this report as a spur to take action.

“There is also a huge problem with self-employment which the system simply doesn’t cater for. Only 17% of the self-employed save into a pension leaving them incredibly exposed later in the life. This is something the yet-to-be-appointed Freelance Champion should make a priority.

“People should not work their whole lives only to retire in poverty. All parties must surely recognise this and agree a long-term plan to ensure everyone can retire on a liveable income.”