As Parliament debates the government's latest proposals designed to promote occupational pensions, the ACA's latest survey finds employers are sceptical about what the proposals will achieve.

Forum Response: Association of Consulting Actuaries

ACA chairman, Gordon Pollock said:  "Overall, the picture we see is of a 'divided nation' in pensions, with those fortunate enough to be covered by defined benefit schemes - an increasing number of public sector workers and those private sector firms able and willing to bear the costs and liabilities - enjoying greater certainty over their pension future.  Set against this, are a growing number of employees of all ages taking on greater investment risk, supported by generally low levels of contributions.  Worse still, we have, through the absence (and decline) of occupational provision, a further large grouping of our citizens becoming dependent on State guarantees that deter savings but which, over the longer-term, are probably unreliable or unsustainable".   

Forum Response: Association of Retired and Persons Over 50

Eric Reid, director of the Association of Retired and Persons Over 50 said: "My response is to emphasise the alternative. If we do not persuade our current and future employees to provide a replacement income in retirement from their own savings, voluntary or enforced, we will have a population of older people dependent on a minimum state means tested income, paid for out of taxation, and that will be a future burden on business. The choice is to produce schemes which secure a future income for the retired from secure pension schemes, or pay up in the future. For I am sure we will not let 25 per cent of the population and more than 30 per cent of the voters live in poverty. Short termism may be attractive, but future generations will curse us if we fail them now."