Retirement & SIPPs
Dec 15 2008

Firms announces support for tax-free savings for pensioners

A UK building society has announced it is in support of tax-free savings for pensions, people saving for retirement may wish to note.

According to Skipton, the over 50s should be offered more financial protection by the government.

It suggested that such people are the worst affected by the rising cost of living and the effects of the ongoing credit crunch.

Deputy chief executive of the society David Cutter said: "With the average income standing at around £12,500 per year, pensioners are particularly sensitive to changes in interest rates and their cost of living."

According to figures cited by Skipton, tax reduces pensioners' income earned on savings by at least a fifth.

It went on to say that the Labour administration should be taking measures to support the "most vulnerable in society", especially pensioners.

In other news, Christine Hallet, chief executive officer of Pointon York SIPP Solutions, recently suggested that the benefits of pensions need to be communicated better to workers.
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