State Pensions

Public sector workers should be stripped of their final salary pensions and instead have schemes linked to average earnings, a Government-commissioned report recommends today.

The Government has confirmed plans to simplify the state pension system but stopped short of announcing firm plans.

The Government is to embark on a fundamental overhaul of the pensions system to ensure it "pays to save" for retirement, Iain Duncan Smith will say today.

The pensions landscape will undergo major change over the coming months with the first set of new plans set to be implemented in April.