Question to the Department for Work and Pensions:

To ask His Majesty's Government what steps they are taking to promote savings, particularly in pensions.

Automatic Enrolment has succeeded in transforming pension saving with over 22 million employees participating in saving in 2023, an increase of over 10 million since its roll out in 2012. However, there is more to be done to build on this success as many people are still not saving enough for a financially secure retirement. This is why the government have relaunched the Pensions Commission which will explore how to improve retirement outcomes, especially for those at the greatest risk of under saving.

In addition to supporting pension saving, the government is committed to supporting people of all income levels and at all stages of life to save for their future goals and build greater financial resilience. This includes saving via Individual Savings Accounts (ISAs), which allow individuals to save up to £20,000 each year, and any savings income and gains within an ISA is tax free. Separately, the Help to Save scheme also aims to promote financial resilience among working households on low incomes. The existing Help to Save scheme has been extended until April 2027 and in April 2025 eligibility was extended to all Universal Credit claimants who are in work.

Through its MoneyHelper service, the Money and Pensions Service also offers practical tools such as savings calculators and budget planners to support people in developing regular saving habits, alongside specialist pensions guidance on how to grow their retirement pot. In addition, the government is working with the Financial Conduct Authority to roll out targeted support for consumers by early next year. This represents the biggest reform of the financial advice and guidance landscape in more than a decade and will represent a step change in the support that consumers receive to invest.