Finding your way through Britain’s pension maze

In April 2006, the Government is changing the pension rules. Here’s what you should do...

Pensions are not popular in the UK. Poor performance, tough exit penalties and a string of scandals have eroded many people's confidence in the sector. Yet at the same time, increasing longevity and an ageing population mean that it has never been more vital to save. The sweeping changes to pension rules due to come into force in April 2006 demonstrate the Government's desperation to get us all to do so. As of A-Day - as 6 April 2006 has been dubbed by the Inland Revenue - there will be just one set of rules governing all types of pension plans. The rules will offer a lot more flexibility and provide new opportunities for those who have hitherto shunned the sector; residential property, works of art and fine wine could, for example, all suddenly become part of your pension.

Although the final rules will remain unknown until the publication of the Finance Bill 2005 later this year, the main principles of the reform and much of the detail is already known. And while these rules have not yet become law, if you don't get to grips with them in advance, you could lose out.

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MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.