After years of groundwork, my Extension of Pensions Auto-enrolment Bill passed its final stage in Parliament.
This will lower the age of people who are auto-enrolled in their pensions to 18 as well as lowering the earnings limits!
I know it sounds boring but it will have an enormous impact on low income and part-time workers. It will mean that everybody in work has their own pension in addition to their state pension in retirement. At the moment, only 20% of workers under 22 are enrolled in a workplace pension.
This will change that. Due to the compound interest gained through incremental savings over a long period, a full-time worker on the national living wage would gain almost an extra £100,000 over their lifetime.
Saving for later life is something that can be difficult but just so important. I can’t wait to see the long-term impact on peoples’ day-to-day lives.