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Pensions Schemes Act and its impact on UK savers

Journalist: Tom Dunstan, FTAdviser

ended 19. May 2026

Following the publication of The Pension Commission's interim report, Age UK discussed how the passing of the Pension Schemes Act may address some of the issues identified by the report.

“The Pension Schemes Act, passed this month, will benefit 22 million workers by up to £29,000 by the time they retire, driving down costs, boosting returns and enabling the automatic consolation of small pension pots to ensure every pound saved works harder for working people,” it said.

What do you think of this? Do you agree that this will benefit savers?

1 responses from the Newspage community

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Editor
Nouran Moustafa
Practice Principal & IFA at Roxton Wealth
I do think the Pension Schemes Act should benefit savers, but only if we understand what problem it is actually solving. Automatic consolidation of small pots is a good thing. People change jobs, collect forgotten pensions, lose paperwork, stop engaging and often have no clear view of what they have. Bringing those pots together can reduce waste, improve oversight and make every pound work harder.
But this is not the same as fixing retirement adequacy. A tidier pension is still not enough if contributions are too low. The danger is that people hear “£29,000 better off” and think the pension crisis is solved. It is not. This may improve outcomes, but it does not remove the need for proper planning and honest conversations about retirement cost.
So yes, I welcome the reform. It is practical and overdue. But the bigger prize is getting people to understand their pensions earlier, check them regularly and stop assuming that being auto-enrolled means being financially prepared.