The relaunch of the Pensions Commission marks an important moment for retirement policy in the UK. It’s a rare chance to step back, take stock of the progress made, and design long-term improvements to help more people retire with confidence and financial security.
There’s already much to build on. The Pension Commission’s previous success of introducing auto-enrolment has enabled millions to effortlessly save for retirement. And the results of this achievement should not be underestimated.
Now, the newly announced Commission will examine how to strengthen the UK’s retirement system, including reviewing contribution adequacy and long-term sustainability. Yet, as we look ahead, it’s clear that simply raising contribution levels alone won’t be enough to improve outcomes for savers.
The complex and changing landscape of pensions
To truly move the dial, reform must be accompanied by support that helps people understand their options, take action with confidence, and feel in control of their financial futures. That means creating a system that is not only robust in policy terms but also rooted in accessibility, transparency, and trust.
Today, many savers are either trying to navigate a complex system, or pushing pensions in to the back of their mind, with limited understanding of what their pension can realistically deliver. That’s why clear, accessible communication must sit at the heart of any new proposals. Guidance and financial education should be integrated at every stage, not just when you approach retirement.
Take, for instance, the ongoing discussions around the State Pension age. Raising it further may make sense on paper, but the human impact must be carefully considered. Not everyone can simply work for longer, and many people, particularly those on lower incomes, rely more heavily on the State Pension for financial security. Without the right support, reforms risk disproportionately affecting those already struggling to save enough.
That’s why access to personalised, affordable financial advice must be a core part of any long-term pension reform. If the Government expects individuals to take greater responsibility for their retirement income, it must give them the tools to do so.
The importance of communication and engagement
We see a similar issue around pension tax relief. It is an incredibly generous policy yet successive governments have toyed with changes for some time. However, any tweak to the existing policy could add complexity without delivering real benefit. Instead of tinkering at the edges, the focus should be on sustainable changes that will benefit all savers. This means clear, timely communication and accessible support. In doing so, policymakers can empower people to make informed decisions and achieve financial certainty later in life.
This is where regulated financial advice must be repositioned from a last resort to an enabler. Advice should be seen as a tool to empower savers to plan long-term, adapt to policy changes, and make their money work harder for them. Right now, under one in ten people seek pensions advice, telling us that not enough people are engaging with their pension1. That statistic must change urgently.
Without intervention, this lack of engagement will continue to undermine even the most well-intentioned reforms. Improving access to financial education and advice must be seen as a pillar of reform, not a footnote.
An opportunity for positive change
Encouragingly, recent legislative moves, such as the new Pension Schemes Bill, signal a growing commitment to long-term reform. If aligned with the Commission’s wider ambitions, these changes could improve adequacy, enhance transparency, and rebuild trust among savers. That trust is essential, particularly as individuals are asked to shoulder more responsibility for their retirement outcomes.
The Pensions Commission now has an opportunity to deliver real and lasting change. But to do so, it must build a system that works for savers, not against them. Ultimately, the Government’s ambition to “put more money in people’s pockets” will only be realised if reforms are bold, coordinated, and protect savers. That means focusing on adequacy and inclusion, empowering people to make informed decisions, and ensuring no one is left behind.
While we wait
For anyone unsure about their own retirement options, speaking with a regulated adviser such as our team at My Pension Expert can be a valuable first step toward greater clarity and control. Advice could be a great opportunity not to just give your pension a boost, but to act as a gateway to better understanding through simplified language. You could get the reassurance that your pension is working hard for you- even if it, admittedly, has been pushed in to the background before, it’s never too late.
A recent FCA survey found that only 8.6% of people received financial advice on investments, pensions or retirement planning in the previous 12 months.
As we await changes and the outcome of the Pension Commision’s review, in 2027, this could be a great opportunity to get ahead and take control of your financial future.
