Four measures to boost UK growth through greater pension investment: PLSA ABI statement

The PLSA and the ABI jointly welcome the ambition we have seen from Government over the last 12 months for pension funds to play a greater role in supporting growth in the UK economy. Representing the full breadth of the UK pensions industry, our priority is to ensure policy proposals work in the interests of the millions of UK workers saving into a pension for whom our membership safeguards £2.5 trillion. We have previously outlined our respective policy priorities in relation to ‘Pensions and Growth’ and today, we call on Government to consider four key areas where more action is needed.

1. Ensuring better adequacy in DC pensions and a bigger pool of investable capital – Most private sector pensions are DC but low contributions risk retirement shortfalls. 
2. Making regulations work better for investment and savers – Regulation must make it as simple as possible to invest in illiquids where it is in the interest of savers. 
3. Increasing investment opportunities – Developing an effective pipeline of assets with good risk reward profiles for pension schemes to invest in UK growth. 
4. Continuing to focus on consolidation – Ensuring that consolidation takes place in the best interests of members.