Since the UK government introduced pension saving rate reform the economic targets set have been more closely adhered to than any other time I am aware of. The introduction of 'Pension Pumping' in 2012 has helped to sustain economic growth. Since 2012 when pension pumping was introduced unemployment has fallen massively. See the chart below. https://tradingeconomics.com/united-kingdom/unemployment-rate See below for 'Pension Pumping'. http://morganisteconomics.blogspot.com/2019/03/pension-pumping.html?q=pension+pumping See below for the fall in the annual pension saving allowance in 2012. http://morganisteconomics.blogspot.com/p/success.html?q=pension+pumping I wasn't happy about the lifetime allowance falling but pension pumping has kept the UK in positive economic growth throughout the last decade and unemployment fell like a stone when it was introduced.
I am not qualified to comment if pension pumping is the cure all save all for the UK economy but I like the idea. Thank you for your educational posts. We amateurs can benefit from some educating. Regards,
Please provide some empirical evidence that the UK Pension Investment Program is directly correlated to "unemployment fell like a stone" {your words}. I can't seem to find any hard evidence of that. In fact, UK Pension Age Equalization seems to account for better unemployment performance (especially among women) than UK Pension Investment as they are working longer before retirement.
In 2012 they dropped the pension saving annual allowance from £255,000 a year to £50,000 a year. The unemployment rate has dropped consistently since until the coronavirus hit. The rate of inflation was constant at half a percent for three years before 2012 and stayed at the same rate for another four years. This is evidence the reduction in the annual pension saving allowance is the active mechanism being used to stimulate economic growth and reduce unemployment. See the chart below. UK unemployment rate last ten years. https://tradingeconomics.com/united-kingdom/unemployment-rate UK interest rate last 10 years. https://tradingeconomics.com/united-kingdom/interest-rate UK annual pension saving allowances last 15 years. The chart has blue columns and is a few paragraphs down from the top of the page. See how it drops dramatically at the time the unemployment figures drop. Note the interest rate is the same three years before and four years after, indicating pension saving alterations are the active mechanism. https://www.which.co.uk/money/pensi...-pensions-annual-allowance-works-ac8d33u9v9ch