Poll: Should pensions be made more fun to encourage people to save?
Pension providers should inject more "fun" into their offerings to encourage people to increase their retirement savings contributions, the pensions minister has told MPs.
Baroness Altmann was asked by the Commons Work and Pensions Committee how people can be encouraged to increase their workplace pension contributions, to ensure they have enough cash for a comfortable retirement.
She suggested that further use of apps and gamification are among the ways people could become more engaged with their pension pot.
Baroness Altmann also said a new law is needed to give workers' pots further protection and added that plans for a "pensions dashboard" - where people would be able to see all of their pots in one place - still have some way to go.
A recent review for the Labour Party recommended that people should be putting 15% of their lifetime earnings towards their retirement.
Under automatic enrolment into workplace pension schemes, the minimum contribution as a percentage of earnings is currently set at 2%, including contributions from workers, employers and tax relief - but experts warn that just saving the bare minimum will not give people a comfortable retirement.
Minimum contribution levels are being gradually increased, to 8% in 2019, by which time it is hoped many people will be firmly in the savings habit and so will not drop out.
