Who is the new Pensions Minister Emma Reynolds? She has been given a ‘joint’ dual role at DWP and Treasury

Emma Reynolds is the new Pensions Minister. She has a dual appointment, meaning she will work for both the Treasury and the Department for Work and Pensions.

The new dual role for the Labour MP for Wycombe was welcomed by pensions industry experts, who hoped it would lead to a more joined-up approach to pensions policy.

Reynolds returned to parliament at the election, having served as MP for Wolverhampton North East between 2010 and 2019.

Until 2015 he was Shadow Minister for Foreign Affairs and later for Housing, and Shadow Secretary of State for Communities and Local Government.

After losing her seat in Wolverhampton in 2019, Reynolds became head of public affairs and policy at the financial sector lobby group TheCityUK.

The Labour Party is planning a major overhaul of pensions. We’ve already looked at the potential implications for pension tax cuts, plans to use retirement savings to boost economic growth, the state pension and more.

Readers of This is Money will also hope that Reynolds can get the DWP’s administration and customer service problems under control, following scandals over underpayment and long delays in processing state pension top-ups, and resolve other issues.

Readers repeatedly complain that when they call the DWP, call centre staff make empty promises that their concerns will be dealt with, only to be ignored.

Other issues Reynolds faces include the long-delayed pensions dashboard, the extension of automatic enrolment for young and low-paid savers, when the retirement age will be raised to 68 and whether the Waspi women should be compensated.

Raynolds replaces Conservative MP Paul Maynard, who was appointed Pensions Minister in November last year.

He succeeded his colleague Laura Trott MP, who oversaw the publication of the first official measure of the gender pension gap and resolved a long-running mess in which innocent errors in the levying of child benefit led to parents missing out on tens of thousands of pounds in state pension.

Steve Webb, former Pensions Secretary during the Tory-Lib Dem coalition years and now pensions columnist for This is Money, said: ‘There is a strong case for a ministerial role that spans both the Treasury and the Department for Work and Pensions.

‘In the past, the two departments have not always been ‘joined up’ when it comes to pensions policy. Treasury changes to pension tax relief have sometimes undermined DWP efforts to encourage pension saving.

‘A combined appointment offers the opportunity to take the entire pension landscape into account in decisions about pensions.’

But Webb, who is also a partner at LCP, adds: ‘One risk, however, is that the Treasury wants pension funds to be used to promote economic growth at a macro level, which may mean that the perspective of individual members receives less attention than necessary.

‘That is something the new minister must be careful about.’

Helen Morrissey, head of pensions analysis at Hargreaves Lansdown, said: ‘The appointment of Emma Reynolds offers enormous hope for a more integrated approach to pensions policy across both the Treasury and DWP.

‘For years, the split has caused frustration. By appointing someone who covers both departments, we can make the policy more coherent.’

She said of Labour’s pension review: ‘We expect this to include further steps towards consolidation of the sector and a focus on how pension investments can support the government’s growth objectives.

‘Reynolds can also use the review to untangle the increasingly complex pension tax system, ending years of tax manipulation and giving people the certainty they need to plan for the long term.

‘Mention should also be made of the state pension – the basis of people’s retirement income. However, the growing bill is fuelling concerns that it may no longer exist in the future.

‘A plan must be developed that places the AOW on a stable basis and provides certainty about what people will receive and when.’

Jon Greer, head of pensions policy at Quilter, said: ‘Despite being out of government for 14 years, Labour has chosen an experienced MP as Pensions Minister with the appointment of Emma Reynolds.

Although she has little experience in pensions, she served in parliament for almost a decade before being re-elected last week.

‘In addition, her most recent experience at financial services trade association TheCityUK should give her a good starting point from a knowledge perspective and provide the opportunity to progress in the role.

‘With the appointment of experienced professionals, such as the two-time Pensions Minister Sir Stephen Timms, who has also been appointed to the Department for Work and Pensions, we hope this will bring stability to a sector that is vital to the health and economy of this country.

‘This appointment demonstrates the view that Labour will treat pensions with due care and consideration, not least because the role is a joint appointment between the Treasury and the DWP.’