---

Pensions Bill

I join with the Secretary of State in thanking the Minister for Pensions Reform; I thank him for the courteous way in which he has dealt with our inquiries, and for writing to us on certain issues that we have raised. I also thank the hon. Member for Eastbourne (Mr. Waterson) for his comments—he is on his fourth Pensions Bill; it is my first, and we shall have to wait and see whether it is my last—and all the other Committee members and Committee staff. As the Secretary of State said, this is the final part of the implementation of the recommendations of the Turner report. Therefore, it is important to look at the two sets of measures together. This is a complicated Bill; there is a lot in it, and there is a lot of work still to do. As an Opposition, we have tried from the start to maintain the consensus, but to raise issues where we feel that there is a need for more information, more work or greater transparency. As the Minister for Pensions Reform knows, we still have several concerns and want work to be done on certain areas. Mention has been made of means-testing; I referred earlier to the Government's difficulties with the 10p tax rate, and we do not want that to be repeated in terms of means-testing. This is a groundbreaking reform that will ensure that many low and middle-income people save properly for their pension. It would be tragic if they were to get their pension and then lose it because the benefits system was not flexible enough. Again, we wait to see what the outcome of the review will be, and we hope that the Government will address this matter. I know that my colleagues in the other place will also be looking at this, and will perhaps be subjecting the matter to further scrutiny. We have raised the issue of generic advice and our concerns about the level of it. The Thoresen review has dealt with some of those matters, but we nevertheless again give notice that we have issues and concerns. We are disappointed that the Minister is only now having a consultation about the open-market option, because we share the view of much of the pensions industry that that should, and could, by now be in the Bill, and that it would have been a useful tool that could have benefited many people. We are disappointed with the fact that although the Minister can filibuster about the United Nations ethical principles, the Government have done little to implement them. This is not just for readers of The Guardian; this is about ensuring that investing ethically benefits pensioners as well as those who receive the investment. Nevertheless, the Bill is important and will benefit many people. If it ensures that pensioners have a decent income, that is to be welcomed. Finally, I am disappointed that the Government have failed, in the centenary of the introduction of the old age pension, to say categorically that they will reintroduce, from next year or whenever, the link with earnings. The hon. Member for Epsom and Ewell (Chris Grayling) quoted the Chancellor's statement that many pensioners who are entitled to pension credits do not claim them. We want pensioners to have a guaranteed income, and all the issues about means-testing would be much better for that. Nevertheless, I welcome the Bill, which is a step in the right direction. I look forward to my noble Friends in the other place tabling amendments that we can perhaps consider on another date.