Two pensions bills will be introduced as part of sweeping reforms to the pensions landscape in the UK, the Queen confirmed in her speech today.

The first concerns a private pensions bill, which will allow savers to pool risks and their investments together in new collective defined contribution (CDC) schemes to cut costs and increase their savings.

The second bill is the pensions tax bill, as already mentioned in this year's Budget, which will give people more control and freedom to use their savings as they see fit as they will no longer be required to buy an annuity.

The Queen said that these bills were a "key priority" for her ministers and is aimed to help build an economy that rewards hard workers.

The reforms are aimed to offer savers more choice, and are part of a package to "allow for innovation in the private pensions market," the Queen said.

The legislation will also extend the ISA and premium bond schemes and will abolish the savers' 10p tax rate.

First published 04.06.2014

monique_simpson@wilmington.co.uk