Oral Answers to Questions

Kelvin Hopkins Excerpts

Monday 21st May 2018 Commons Chamber

[Sarah Newton]

As I said in answer to an earlier question, we insist and make sure that the healthcare professionals undertaking the assessments are appropriately trained and have the right expertise, and the guidance is kept under constant review to make sure we get it right first time.

[Kelvin Hopkins (Luton North) (Ind)]

14. What recent assessment she has made of trends in the level of fees and charges applied by asset managers to the investments made by defined contribution and defined benefit pension schemes.

[The Parliamentary Under-Secretary of State for Work and Pensions (Guy Opperman)]

The Government recognise that customers need value for money, but lowest cost does not always mean best value. By working with the Financial Conduct Authority, we believe price transparency for trustees can drive effective competition and allow asset managers who can add value to thrive.

[Kelvin Hopkins]

The Minister will recall my earlier question to him on 9 October last year, but is it not the case that all essentially private pension schemes, defined benefit or not, incur costs and uncertainties that significantly reduce benefits to savers, and the only way to minimise such costs is to establish a universal full-blown defined contributions and defined benefits state earnings-related pension scheme for all?

[Guy Opperman]

The hon. Gentleman will be aware that the Financial Conduct Authority published the final rules in September 2017, and that independent governance committees on personal workplace pensions have had rules in force since January. On his discrete point, surely auto-enrolment, with 9.6 million people in this country signed up to it, and the enhanced state pension, which stands at over £1,250 more than in 2010, are the answers to his question.