Enforced pensions

Friday 27 March 1998 19:02 EST
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The prospect of enforced contributions by employees into pension schemes moved one step closer this week with the publication of the Government's Green Paper on welfare reform.

Frank Field, the Welfare Reform Minister, who unveiled the document - New Ambitions for our Country - A New Contract for Welfare - before the Commons, spoke of "duties on the party of Government ... matched by duties for the individual".

Mr Field said: "It is the duty of government to relieve poverty in old age and regulate pension provision; it is the duty of individuals to save where possible for old age."

The move towards enforced contributions has been attacked in some quarters for leading to a pay cut for many workers. However, mortgage lenders welcomed reforms that will protect homeowners who suffer a reduction in income from being penalised for having taken out payment protection insurance.

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