Reeves' pension reforms 'could mean lower returns for millions'

Chancellor wants groups to invest in UK economy

- BY JONATHAN WALKER

RACHEL Reeves has been warned her controversial pension reforms will mean “lower returns for millions of workers”, as Labour prepares for a fresh battle with the House of Lords.

Peers are tonight expected to reject plans to allow the Chancellor to order pension funds to invest in the British economy.

It is the latest round in an ongoing battle between the Commons and the Lords over the government's Pension Schemes Bill. The Lords has already removed elements of the legislation that would give ministers a “reserve power” to force pension schemes managing the savings of working people to invest in the UK.

But the measure was reinstated by MPs, in a process known at Westminster as “ping-pong”.

Defeat