Pension Credit Could Lead To Mis-selling Scandal

12.35.25pm GMT Wed 12th Nov 2003

Norman Lamb MP, Liberal Democrat Member of the Treasury Select Committee

Commenting after evidence by pensions experts to the Treasury Select Committee, Norman Lamb MP, Liberal Democrat Member of the Treasury Select Committee, said: "The evidence we heard today suggests there is a huge contradiction at the centre of Government pensions policy."

"The heavily means tested Pension Credit actually acts as a disincentive for people to save for their old age. For many people the Pension Credit means there is little or no point in saving for their retirement."

"The Pension Credit also puts financial advisers in a difficult position. If they advise the purchase of a pensions product that results in the loss of the Pension Credit, they risk being accused of mis-selling."

"With less than half of those eligible currently taking up the Pension Credit, contradiction at the centre of the Government's pensions policy won't help its success."