Peter Gibson MP supported the Pensions (Extension of Automatic Enrolment) (No. 2) Bill as it was debated and passed its third reading in the House of Common’s on Friday (24/03/23).
This Private Members’ Bill was tabled by Jonathan Gullis, the MP for Stoke-on-Trent North. The purpose of the Bill is the extension of pensions automatic enrolment to jobholders under the age of 22, and grants powers to the Secretary of State for Work and Pensions to abolish the Lower Earnings Limit for contributions.
Speaking during this debate Mr Gibson highlighted the flaws in the current pension auto-enrolment system, saying, “the 22-year-old minimum age simply does not work, why shouldn’t someone who chooses to start working before they are 22 be paying into a pension from that age the same way someone who is 22 does. They would have much to gain from auto enrolment being extended to them. Moreover, we must recognise that the current system also disproportionately impacts women and those on the lowest earnings in our society, who are more likely to be in part time work and have multiple part time job, like many in my constituency of Darlington.”
The extension of auto enrolment to those under the age of 22 could potentially add trillions to the nations pension pot, it is also a chance to ensure people are saving for their future from a young age, allowing us to ensure the poorest in society have a more secure future, while also taking steps towards closing the gap between men and women’s pension savings.
Describing the Bill as “Levelling Up in action”, Mr Gibson went on to conclude his speech by saying “I know that the extension of auto enrolment would have huge benefits for many people in Darlington and across the country. I am delighted to support the bill today and look forward to it completing its legislative journey swiftly.”
The bill secured cross party support, passing its third reading without the need for a division. It will now continue its legislative journey passing through the House of Lords.