The Way Out of the Pensions Quagmire

'The Way Out of the Pensions Quagmire' provides an analysis of the current problems of pension provision in the UK and a radical plan for reform. The authors believe that the system of retirement income provision in the UK is so mired in complexity that nothing less than wholesale change is necessary. But change should not be limited to consideration of the shape of the state pension system or the framework in which private schemes operate: that would be to repeat the errors of the past. The authors believe that state pensions should only be offered on a contributory basis - there should be no automatic right to a 'citizen's pension', as has been proposed by many commentators. Attention should also be paid to the social security system to remove the perverse incentives of means testing. Anomalies and special treatment of favoured groups in the tax system should also be removed. 'The Way Out of the Pensions Quagmire' proposes a holistic approach to pension reform that takes proper account of the interaction between pensions, tax, social security and financial regulation. 'The authors lay bare the true nature of many of the quirks of UK pensions that have arisen as the result of political favours given to woo groups of voters. They offer the opportunity to think where we haven't thought before about radical solutions that would grapple with the causes of some of the present problems facing pensions systems.' - Chris Daykin, CB, FIA, Government Actuary