Pensions: Tax Relief

Baroness Evans of Bowes Park Excerpts

Tuesday 6th December 2016 Lords Chamber

[Lord Brookman (Lab)]

My Lords—

[The Lord Privy Seal (Baroness Evans of Bowes Park) (Con)]

My Lords, it is the turn of the Liberal Democrat Benches.

[Baroness Bakewell of Hardington Mandeville]

My Lords, the current system benefits the wealthiest in our society. However, if tax relief were changed to match funding with thresholds aimed at lower savers and, for example, the first £500 was matched by the Government pound for pound, thereafter gradually tapering down, this would demonstrate the benefits of savings as it supports those on lower incomes getting the most. Does the Minister agree that reform to match funding, rather than tax relief, would give a greater incentive to save?