'Radical' pension and ISA reforms green paper launched

George Osborne has opened up the possibility of “radical reforms” which could mean pensions become taxed like ISAs. As part of today’s Budget he has launched a green paper to give “careful consideration” to making such changes.He told Parliament: “While we’ve taken important steps with our new single tier pension and generous new ISA, I am open to further radical change. Pensions could be taxed like ISAs.{desktop}{/desktop}{mobile}{/mobile}“You pay in from taxed income – and its tax free when you take it out. And in-between it receives a top-up from the government.“This idea, and others like it, need careful and public consideration before we take any steps. So I am today publishing a Green Paper that asks questions, invites views, and takes care not to pre-judge the answer.”He said last year’s pension reforms have given “huge freedom to people who’ve worked hard and saved hard all their lives – and many thousands are, with the free guidance service we offer, making use of those freedoms to access their savings instead of buying annuities”.He said: “Now it’s time we looked at the other end of the age scale – at those starting to save for a pension.“For the truth is Britain isn’t saving enough and that’s something we need to fix in our economy too.”

'Radical' pension and ISA reforms green paper launched

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