Letter Printed in Financial Times 4 April 2003 - Ros Altmann

    Ros is a leading authority on later life issues, including pensions,
    social care and retirement policy. Numerous major awards have recognised
    her work to demystify finance and make pensions work better for people.
    She was the UK Pensions Minister from 2015 – 16 and is a member
    of the House of Lords where she sits as Baroness Altmann of Tottenham.

  • Ros Altmann

    Ros Altmann

    Letter Printed in Financial Times 4 April 2003

    Letter Printed in Financial Times 4 April 2003


    Printed in Financial Times 4 April 2003

    by Dr. Ros Altmann

    (All material on this page is subject to copyright and must not be reproduced without the author’s permission.)



    Financial Times

    Number One

    Southwark Bridge

    SE1 9HL

    2nd April 2003



    read Martin Wolf’s excellent comments on our final salary scheme

    ‘pensions lottery’ (March 31).  The UK pension system

    certainly is defective.  Unless an insurance scheme is

    introduced, employees should think very carefully before increasing

    contributions into their company scheme.  They could lose all

    of it, if their employer fails.  This can be likened to

    recommending them to put their retirement savings into one share on

    the stock market.  If the company goes bust, they may lose all

    their money (and their earnings too).  Our system must offer

    proper protection (at least up to some maximum level) for the rare

    eventuality of employer insolvency.  Members must be properly

    warned about the risks to their contributions.  All other

    financial products carry a risk warning – if contributions are not

    safe, members have a right to know.  Crossing fingers and

    hoping the markets will recover is no way to run a pension system. 




    Governor London School of Economics

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