UK Politics

Support trulyindependent journalismFind out moreCloseOur mission is to deliver unbiased, fact-based reporting that holds power to account and exposes the truth.Whether $5 or $50, every contribution counts.Support us to deliver journalism without an agenda.Louise ThomasEditorThe Chancellor hopes to boost pension pots by £11,000 and unlock billions more in investment with a review of retirement savings.With pension schemes expected to manage about £800 billion by 2030, the review will look at how they can be encouraged to invest in productive assets such as infrastructure.As well as supporting the Government’s aim of boosting economic growth, the Treasury said this would also ensure better returns for savers, increasing the average pension pot by more than £11,000.The announcement follows the inclusion of a Pension Schemes Bill in Wednesday’s King’s Speech, to help savers by introducing automatic consolidation of small pension pots and a value-for-money framework to improve governance.Rachel Reeves said: “Despite a very challenging inheritance, this new Government is getting on with the job of delivering our mandate to get the economy growing so we can make every part of our country better off.“The review we are announcing is the latest in a big bang of reforms to unlock growth, boost investment and deliver savings for pensioners.“There is no time to waste. That is why I am determined to fix the foundations of our economy so we can rebuild Britain and improve people’s lives.”The review will be led by new pensions minister Emma Reynolds, the first to work jointly with the Treasury and the Department for Work and Pensions.Ms Reeves and Ms Reynolds will chair a meeting with the pensions industry on Monday to discuss the review, before the Chancellor chairs the first “Growth Mission Board” on Tuesday focused on the Government’s mission to secure the highest sustained growth in the G7.Other measures being considered by the Government include further consolidation of the Local Government Pension Scheme (LGPS) for England and Wales, which is currently split across 87 funds and pays £2 billion a year in fees alone.Ms Reynolds said: “Over the next few months the review will focus on identifying any further actions to drive investment that could be taken forward in the Pension Schemes Bill before then exploring long-term challenges to ensure our pensions system is fit for the future.“There is so much untapped potential in our pensions markets, with an industry worth around £2 trillion.“The measures we have already set out in our Pension Schemes Bill will help drive higher investment and a better deal for our future pensioners.”The announcement of the review has been welcomed by the pensions sector.Andrea Rossi, chief executive of investment firm M&G, said the review was “long overdue”, adding: “Consolidation, combined with the role of advice, has huge potential to align the interests of savers with the UK’s growth ambition.“We look forward to supporting the Government on this landmark review.”Barclays’ chief executive CS Venkatakrishnan said: “Pensions reforms are critical to unlocking institutional investment in growth equity and, alongside a streamlining of listing requirements, will give a significant boost to UK capital markets and growth.”The previous government also targeted pension schemes as a potential way of unlocking investment in British businesses and infrastructure schemes, and then-chancellor Jeremy Hunt announced a series of value-for-money reforms in March.Writing in the Mail on Sunday, Ms Reeves said the Conservatives had “promised action” to reform pensions, but “failed to deliver” over 14 years in office.She said: “Not only is the current system not delivering the retirement savings it should, but it is not doing what it should to support some of our great British businesses.”The Chancellor added: “Where they have failed, I will act.” More

Support trulyindependent journalismFind out moreCloseOur mission is to deliver unbiased, fact-based reporting that holds power to account and exposes the truth.Whether $5 or $50, every contribution counts.Support us to deliver journalism without an agenda.Louise ThomasEditorAll new MPs have been given panic alarms as they face unprecedented levels of threats and abuse.The 335 new members elected this month have been handed welcome packs containing pocket alarms with GPS trackers. When activated, they alert the police, who can quickly despatch officers.They have been available for all MPs on request since the murder of Jo Cox in 2016, but have now been given out by default after the general election saw an increase in intimidation and abuse.New MPs have been given panic alarms More

Support trulyindependent journalismFind out moreCloseOur mission is to deliver unbiased, fact-based reporting that holds power to account and exposes the truth.Whether $5 or $50, every contribution counts.Support us to deliver journalism without an agenda.Louise ThomasEditorAn MP who has revealed she became pregnant at 15 after being “groomed” by an older man has vowed to be a voice for “women that have children in far from ideal circumstances”.Labour MP Natalie Fleet, 40, disclosed that she still suffers “weekly nightmares” as a result of the harrowing ordeal but is determined to use her platform to enact change.She said her family had been struggling when she was growing up and at one stage even found themselves homeless before she gave birth to her daughter.In an interview with Gloria De Piero on GB News to be broadcast on Sunday, Ms Fleet said: “At the time, when I was 15, I felt full of shame and guilt and responsibility.“And all I was determined to do was make sure that she had a life that was as good as she would have had to any age parent. That was what I was determined to do, I didn’t think about me or the impact.”But, with her daughter now 23 and “the absolute love of my life”, Ms Fleet said she could look back and think “that wasn’t okay”.She said: “That was an older man. That was potentially, I mean now we have labels like grooming that we didn’t have then. I didn’t know we were having unprotected sex. I was a child and this is statutory rape. You know, at the time this isn’t something that we were talking about. It’s not how I saw myself.”Natalie Fleet is interviewed by the former Labour MP Gloria De Piero More

Support trulyindependent journalismFind out moreCloseOur mission is to deliver unbiased, fact-based reporting that holds power to account and exposes the truth.Whether $5 or $50, every contribution counts.Support us to deliver journalism without an agenda.Louise ThomasEditorThe government could need up to £10bn to cover public sector pay increases if reports of a 5.5 per cent rise prove true, a leading economist has warned.Independent pay review bodies are reported to be preparing to recommend such an increase for teachers and around 1.3 million NHS staff, according to The Times, well above the figure the government is thought to have been preparing for.Paul Johnson, director of the influential Institute for Fiscal Studies, said he was “not terribly surprised” by the figure, which would be in line with pay rises across the economy, and would cost an extra £3bn for schools and the NHS alone.He told the BBC’s Today programme: “In terms of the cost, there isn’t a specific number that is budgeted for schools, it’s probably 1 or 2 per cent, it’s certainly nothing like 5.5 per cent, so we’d certainly be looking at at least an additional £1bn on schools’ costs relative to what they’re currently expecting.“And at least double that across the NHS if the proposals for the NHS are similar, which it appears that they might be.”Mr Johnson added that if the 5.5 per cent figure was replicated across the public sector, it could mean the government needs to find an extra £10bn.A higher-than-expected pay rise could pose a significant challenge for chancellor Rachel Reeves’ first budget, likely to come in the autumn, after promising to control borrowing and ruling out a string of tax rises during the election campaign.Rachel Reeves faces a potential headache for her first budget if pay review bodies recommend a 5.5 per cent increase across the public sector More