§ Mr. LoveTo ask the Chancellor of the Exchequer what efforts he is making to improve public understanding of financial products and services; and if he will make a statement. [186627]
§ Ruth KellyThe Government are working closely with the voluntary sector, the financial services industry and others to develop and implement a national strategy for raising levels of financial capability, under the leadership of the Financial Services Authority. This strategy has identified a number of priority areas, based around key life events, from prospective parents to those who are planning for retirement. The Government already provide incentives to encourage long-term savings by giving generous tax treatment on pensions and is also working, with industry to set up a suite of simpler savings products. In June this year the Government announced their proposals for the stakeholder suite of savings and investment products to be launched into the marketplace in April 2005. These are a suite of simple, low-cost, risk-controlled products to meet the short, medium and long-term savings needs for all consumers.
1197WMeasures to support financial inclusion, such as the Savings Gateway, and the establishment of the Child Trust Fund also serve to encourage people to engage with the financial sector and develop the savings habit.