---

Pensions Bill

Indeed, ISAs have tax relief, but not the same as provided through pension saving. That is an absolutely fundamental point. The total taxation relief on pension savings is very substantial, which is why, as I explained, the deal is that you convert it to a stream of income. There is tax relief on the way in for the individual; for the employer, there is a tax-free build-up of funds and there is the ability to take a 25 per cent tax-free lump sum. That collection of tax relief provides a significant part of a retired person’s pension pot. The noble Lord, Lord Hunt, pointed out that these are a person’s assets; they own them and they should have the choice.