Target date funds are not adequate to address the problem of defined contribution retirement saving, Lord Hutton says.
Andrew Short speaks to Lord John Hutton about why he did not recommend DC for public sector workers.
Trade unions this morning declared war on government pension policy after three of the country's biggest unions confirmed 1.65 million workers would move to strike in November over public sector pensions.
Hutton calls for rethink on pension changes; Auto-enrolment becomes a headache; Pension reform could trigger stock market chaos, coalition warned
Pension reforms: Hutton warns ministers over punitive rise in costs; Only a third of people saving for retirement; Low-paid struggle to find a pension; Private Equity to provide low earners with their nest eggs
The government has decided the appropriate discount rate for calculating unfunded public sector pension contribution rates should be based on the long term expectation of Gross Domestic Product growth.
Lord Hutton's recommendations for public sector pension reform have been backed by the Treasury, with Chancellor George Osborne saying there would be no "cherry picking" from his proposals.
Taxes will have to rise by more than £82bn a year to cover the pension, healthcare and benefits bill of the ‘baby boomer' generation, a report says.