• News Feeds
Page last updated at 08:07 GMT, Monday, 1 October 2012 09:07 UK

Webb: 'Getting people to save' for pension is priority

Advertisement

A new pension scheme will auto-enrol people into a plan unless they choose to opt out. The pension will include money from earnings, plus contributions from the employer and from tax money.

Paul Lewis from the BBC's Money Box programme isn't convinced that the scheme is enough. He told Justin Webb that people "should be putting in considerably more" than the plan will automatically contribute, adding that "we don't know what the world will be like in 40 years time."

Pensions minister Steve Webb told the Today programme that "half the workforce" are building up "no pension except the state pension", so the government's first priority is "to get people saving at all".

On the question of whether this scheme will work for small businesses, Mr Webb said that it will be a lot of work for small companies, however "millions of people work for small firms and we can't allow them to retire in poverty".


Get in touch with Today via email , Twitter or Facebook or text us on 84844.

Story Tools

BBC navigation

BBC © 2013 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific