Auto-enrolment provider the People’s Pension has published five demands on the next government to improve pension saving in the UK.

In particular, the provider wants the next government to help people on low incomes, reduce the gender pensions gap and to make pensions more transparent.

Auto-enrolment has widely been considered a success, with 10m more people now saving for retirement than did before the policy was rolled out in late 2012.

But in its new manifesto, the workplace pension provider urged the government to ensure people are saving enough for a comfortable retirement and millions of workers aren’t unnecessarily excluded from auto-enrolment.

Gregg McClymont, director of policy at The People’s Pension, said: “The topic of pensions may not be a vote winner like the NHS or Brexit, but with millions of people at risk of not having enough to live on in retirement, it’s an issue that all politicians should care about and act on.”

The manifesto included five demands:

  • End the ‘net-pay anomaly’ which deprives an estimated 1.75m low earners of much-needed tax relief through auto-enrolment;
  • Extend auto-enrolment to millions more workers by making pension contributions begin from the first pound of earnings, lowering the eligible age for auto-enrolment to 18, and reducing the earnings requirement to the primary National Insurance threshold of £8,632;
  • Introduce a universal flat rate tax relief between 25-30 per cent to increase the pensions savings of those who need it most;
  • Reduce the gender pensions gap by accepting the principle that caring is an economic activity which should attract workplace pensions contributions;
  • Support a one stop shop, publicly operated pensions dashboard free from commercial sales pitches, featuring all pensions entitlements from day one, and with pension charges disclosed in a standard format.

Auto-enrolment currently only captures workers aged 22 or above who are earning at least £10,000 per year.

Meanwhile, the provider wants to reinvigorate the pension tax debate by calling for a flat-rate system of tax relief.

Previous Conservative chancellor George Osborne had mulled bringing changes to the way pension tax is calculated but dropped plans in the run up to the 2016 Brexit referendum.

If you would like to discuss your pension provision with an adviser, please contact us on 0191 384 1008.