The Society of Pension Professionals: The impact of Trump’s tariffs on UK pensions
In the wake of United States President, Donald Trump, announcing new import taxes on goods from almost every country, the economic turbulence felt across the world has been substantial, making it perfectly reasonable for those saving in a pension, and those already in receipt of a pension, to ask how such events may affect them here in the UK.
As a result, The Society of Pension Professionals (SPP) has sought to utilise the diverse expertise of its membership for the public good by producing an informational paper on the subject.
The report explains that, “Given the scale of the equity market falls since early April 2025, and the fall in government bond yields, it is possible that some DC savers may see a reduction in retirement income of up to 20%” although the paper also provides reassurance that millions of people in a Defined Benefit (DB) scheme – including Local Government Pension Schemes – as well as those who rely solely on the state pension, are likely to be largely unaffected.
Simon Daniel, Chair of the SPP’s Investment Committee, said: “The world is again enduring a period of financial turbulence and this has naturally created some uncertainty for UK savers and investors. This SPP paper sheds some light on the likely impact for both those who are saving into a pension arrangement and those who have already retired. The overall message from this paper is that making significant, reactive changes to pensions and other savings is generally not ideal compared with keeping a cool head and planning carefully.”
