Tory leader Iain Duncan Smith has today addressed a pensions summit, where he accused the government of failing to avert a massive disaster in the industry.

He was joined by senior representatives of a number of organisations including the TUC, the CBI, the National Association of Pension Funds, the Association of British Insurers and Age Concern.

Forum Response: Association of British Insurers

A spokeswoman for the ABI told ePolitix.com: "Last year the ABI published research highlighting a £27 billion savings gap between what people should be saving and what they are actually are.

"The ABI has identified a five-point plan for closing this gap. We believe that there should be lighter lighter-touch regulation for 'safe harbour' products to cut the costs of advice and distribution.

"The current pensions framework should be simplified in order to give people a better idea of what they can expect in retirement. There should be a consideration of incentives to increase contributions and new avenues for the provision of advice, including the workplace, should be introduced.

"We would also like the government to begin a sustained education programme on the risks of not saving for retirement."

Forum Response: Age Concern

Gordon Lishman, director general of Age Concern in England, told ePolitix.com: "The current pensions system is so complex it leaves millions of people literally gambling on their future.

"Both state and occupational pension schemes are putting less into people's pockets, leaving it up to the individual to save when they may not be in the position to do so or understand the retirement benefits they will receive.

"The government and the Conservatives are keen on reducing state contribution at a time of great uncertainty. There is a huge gap between peoples' expectations and the reality facing them in retirement. Only one in five people are confident they will have sufficient income in retirement, and only half are making any provision.

"Unless action is taken soon, more and more people are going to be dragged into the means-testing net and spend their retirement relying on state benefits. It is vital that there is a balance between funded and state provision of which the basic state pension remains a cornerstone.

"What is needed is a clear system which guarantees people will not be left short-changed in later life."

Forum Response: National Association of Pension Funds

A spokesman for the NAPF told ePolitix.com: "It is important that our politicians come to terms with the problems facing ordinary people who are trying to save for their retirement.

"Meetings like these can only help in raising awareness both inside and outside the Westminster village.

"There is nothing like a pension which comes with the job and it is important that employers and employees recognise the value of occupational pensions."