Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what recent steps he has taken to close the pension benefits loophole affecting workers with net pay pension schemes who earn between £10,000 and £12,500.

At Autumn Budget 2021, the government announced that it will introduce a system to make top-up payments in respect of contributions made in 2024-25 onwards directly to low-earning individuals saving in a pension scheme using a Net Pay Arrangement. These top-ups will help to better align outcomes with equivalent savers saving into a pension scheme using Relief at Source. An estimated 1.2 million individuals could benefit by an average of £53 a year. The government will set out more detail on the implementation of this policy in due course.