Member

The Government want to encourage pension saving to help to ensure that people have an income or funds on which they can draw throughout retirement. That is why, for the majority of savers, pension contributions made from income during working life are tax-free. Amendment 211 from the noble Viscount, Lord Younger, would require the Government to conduct a comprehensive review of the tax treatment of employee and employer pension contributions with a focus on the differences in tax treatment and their implications. I understand the noble Viscount’s interest in this issue, but the Pension Schemes Bill is not tax legislation. I say this very carefully: matters relating to tax are for His Majesty’s Treasury. However, the Government keep all aspects of the tax system under review as part of the annual Budget process and in the context of the wider public finances.