True Potential calls for LISA option in auto-enrolment

Claims workers more likely to choose LISA than pension

Carmen Reichman
clock • 2 min read

Advice and investment firm True Potential has called on the government to include the Lifetime ISA in auto-enrolment after it found workers were twice as likely to choose the product than a pension.

True Potential echoed MPs concerns in a report out in May, which warned a failure to offer LISA as an option for auto-enrolled savers could create a surge in opt-outs. MPs had asked the government to look into the effect of LISA on workplace pensions, which has so far seen about six million people automatically enrolled. True Potential warned savers who opt for the LISA in exchange for traditional workplace pensions could miss out on around £20,000 worth of employer contributions over the lifetime of their savings pot (based on 3% employer contributions on a £26,000 salary over 32 yea...

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