JERSEY’S pension policies need a ‘root and branch’ review, suggest finance specialists.

Last month the Jersey branch of the Personal Finance Society voiced concern about the States plan to abolish tax relief on all but the first £1,000 of life assurance premiums.

They are also concerned that currently there is only one annuity provider – Norwich Union – operating in the Island.

Now the Jersey Taxation Society are asking for a fundamental revision of the States policies on personal pensions.

JTS president John Riva said: ‘When an individual comes to pensionable age they are forced to purchase annuities – and now there is only one provider.

Mr Riva suggested that the States needed to reconsider its policies to allow people more flexibility, rather than restricting the options in fear that people might fritter away all their pension pot.

‘If people are clever enough to save, are they really going to squander that money?’