Question to the Department for Work and Pensions:

To ask Her Majesty’s Government what plans they have to assist workers who change their jobs, or leave the labour force, to consolidate and aggregate small pension pots.

I refer the Noble Baroness to the Written Statement I made on 15 October, HLWS238, which explains why the time is not right to implement a system to consolidate or aggregate small pots.

Members still have a right to request a member-initiated transfer if they want to move their pots when they change jobs or leave the labour market. To introduce a system of automatic transfers would be a significant new process for both schemes and members to get to grips with at a time when the pensions market is changing fast.

The introduction of the new State Pension, the continued implementation of automatic enrolment and the introduction of the pensions flexibilities - allowing members more freedom and choice about how and when they access their pensions are all major reforms to pension savings. I believe that the Government, providers, employers and members need to focus on these reforms to ensure their success.

The future pensions market could look different from the current one. It is important that any system of consolidation is long-lasting and reflects that future landscape.

This does not mean that the project has ended and I am very grateful for the contributions that the industry has made to this project. I fully intend to ensure that the insight gathered in our extensive engagement with industry should be applied to the model when work is restarted.