Phased in employer contributions risk 'undermining' personal accounts

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The Labour party's proposal to phase in employers' contributions to personal accounts until 2016 "undermines" the whole project, the Conservatives say.

Speaking at Politeia's anniversary address 2009, the Conservative work and pensions spokeswoman Theresa May said the current government's proposal for phasing in employers' contributions meant it would very likely take until 2016 to reach the full 3%. She said: "The employer contribution could be 1% for a few years - as late as 2015. A slow start such as this could undermine the project." May said if the Conservative party was elected it would introduce personal accounts on a voluntary basis before 2012, with an opt-out option, in order to prevent discrepancies before it was fully int...

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