Chancellor Criticised by MPs Over Pension Tax Raid Silence
Chancellor Rachel Reeves faces parliamentary scrutiny for failing to address growing concerns about potential pension tax changes in the upcoming Budget.
Key Developments
- MPs have formally criticised the Chancellor’s inadequate response to pension raid fears
- Parliamentary petition surpassed 20,000 signatures demanding protection for retirement savings
- Government’s refusal to comment fuels speculation about Budget tax changes
The Petitions Committee, comprising cross-party MPs, has taken the unusual step of demanding a revised response from the government after deeming the initial reply insufficient. This parliamentary intervention highlights the seriousness of concerns about potential changes to pension contribution rules or tax-free lump sums.
A petition organized by investment platform AJ Bell quickly gathered over 20,000 signatures – double the threshold requiring an official government response. The widespread support demonstrates significant public anxiety about retirement savings security.
The government’s standard response that it ‘does not comment on proposed tax changes or tax-related speculation ahead of Budgets’ has only intensified worries among pension savers. Tom Selby of AJ Bell noted that ‘this did nothing to ease the nerves of many hard-working pension savers ahead of another Budget tipped for tax rises’.
The Petitions Committee has now formally requested the government provide a more substantial response addressing the specific concerns raised about pension protection.
