Conservative policy document confirms intentions on pension policy

In its policy document - Eight Benchmarks for Britain's Economic Growth, launched by George Osborne today - the political party confirmed it would look to cap the public sector pensions above £50,000.

It also said it would work to restore the savings culture and encourage people to save more for retirement - saying it would work with both employers and industry to support auto-enrolment into pensions for those on middle and lower incomes.

The Tories also reiterated its plans to help to stop the spread of means-testing by restoring the link between the state pension and average earnings - a move it said would be affordable because of its commitment to bring forward the date at which the state pension age will rise to 66.

And it confirmed it would reverse the effects on pension savers of the 1997 abolition of the dividend tax credit for pension funds over the longer term.

The full report can be found here.