UK government gambling with your pension for political ambition

 

The UK government is gambling with the pensions of over 30 million people, using their hard-earned retirement savings to bankroll political growth narratives with little transparency and even less accountability

 

 

This is the stark warning from Nigel Green, CEO and founder of deVere Group, one of the world’s largest independent financial advisory and asset management organisations.

 

 

Chancellor Rachel Reeves is backing the ongoing implementation of the Mansion House Accord, a policy that quietly commits major pension providers to shift 10% of all default pension funds into opaque, high-cost private market assets—including unlisted equity, private debt and infrastructure projects.

 

 

At least half of that capital must remain in the UK, regardless of whether it delivers the best return for savers.

 

 

“This is a slow-motion hijacking of UK pensions,” warns Nigel Green.

 

 

“Reeves and the government are pushing the country’s retirement funds into riskier investments to prop up political and economic headlines, not to protect retirees.”

 

 

Around £4.8 trillion is currently held in UK pensions. With roughly 90% of savers in default schemes, that means hundreds of billions of pounds are already being repositioned—without most people’s knowledge or consent. The shift is already underway with major providers.

 

 

Private markets are not inherently bad—but they come with greater illiquidity, lower transparency, higher management fees and less frequent valuations than publicly listed investments.

 

 

In short, they’re harder to monitor, more expensive to run, and more vulnerable in volatile markets.

 

 

“The Accord has been spun as modern and progressive. But in reality, it exploits public financial disengagement,” Nigel Green continues.

 

 

“The government knows most people don’t actively choose their pension investments, so they’re using that apathy to force through policy via the back door.”

 

 

The policy’s UK-first mandate further restricts diversification.

 

 

“Half of the new private market allocation must be invested domestically, even if global alternatives offer stronger returns or better risk profiles.”

 

 

“This isn’t about maximising your retirement outcome,” says the deVere CEO.

 

 

“It’s about forcing capital into the UK economy to cover up deeper issues: sluggish growth, overregulation and stagnant productivity.

 

 

“They’re using your pension because they’ve run out of other tools.”

 

 

Cost is another concern. Private market funds can carry fees as high as 3%, compared to under 0.5% for many public market index funds. Over a working life, that difference could erase tens of thousands of pounds from someone’s final pension pot.

 

 

Worse still, there has been no meaningful debate, no widespread communication campaign, and no informed consent from the people whose money is being redirected.

 

 

“The Mansion House Accord turns default savers into silent financiers of political ambition,” warns Nigel Green.

 

 

“It’s financial sleight of hand on a national scale.”

 

 

deVere is urging savers to “take back control.” Many UK pensions are transferable. Investors can opt out of default schemes and move to more globally diversified, lower-cost, and more transparent funds that better suit their goals and risk tolerance.

 

 

“Every saver in the UK should now be asking one question: do I want my pension aligned with my retirement—or someone else’s agenda?” concludes Nigel Green.

 

 

“The government is betting you won’t pay attention. Prove them wrong.”