Nearly three quarters (74 per cent) of pension professionals think some form of tax relief would be the best way to achieve the government’s aim of greater UK investment, research from the Society of Pension Professionals (SPP) has revealed.

The research, undertaken during the SPP's latest Annual Conference session, found that a further 8 per cent would back idea of placing a statutory requirement on trustees and scheme managers to encourage greater UK investment.

Meanwhile, nearly a tenth (8 per cent) said that driving further consolidation and scale was the best solution, while 4 per cent backed the idea that run-on surpluses should be more easily diverted to support defined contribution (DC) costs.

However, none of those who were surveyed chose the option of creating a narrower, performance driven value for money framework.

In addition to this, 6 per cent said there is no best approach because the policy initiative is "fundamentally flawed".

Commenting on the findings, SPP president, Sophia Singleton, said: “It was no great surprise that tax incentives were considered to be the most effective way to encourage greater UK investment.

"However, given the current economic climate and the government’s current focus, this strong industry support may not easily translate into policy.

"If this is a real priority for the government, tax incentives need to be considered alongside the various other options.”

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