Pensioners need a tough new regulator to protect them from making bad decisions with their savings, an influential group of MPs said today.
The Financial Conduct Authority (FCA) is not sufficiently focused on pensions, and so a new single regulator is needed, MPs on the Work and Pensions Select Committee said.
They called for the next government to establish a pensions commission to look at regulation, the auto-enrolment scheme and future changes to pension policy.
“The new pension flexibilities give savers the freedom to use their money in the way they choose and have the potential to make retirement saving really attractive,” said committee chair Dame Anne Begg MP. “But savers need to be properly protected from being ripped off in frauds or scams, or suffering financial loss from making the wrong decision about how to use their pension pots.”