Hundreds of thousands 'unfairly hit' with high pension fees So far one million workers have signed up for so-called "auto-enrolement" pensions, where staff have to opt out of putting money aside for their retirement, since the Government launched the initiative earlier this year. Experts last night warned that the OFT investigation, its biggest since 1997, may still not go far enough and that many savers could still face "rip-off" fees. Ros Altmann, a former government adviser and pensions expert, said: "If this report finds that costs have been far too high and recommends a cap of 1 per cent, it will be very welcome. But it has been a long-time coming and over the years millions have lost significant sums in excessive charges, which have left them with much lower pensions as a result. She added: "It is vital that we understand exactly what charges will be included as part of any cap and also that the Government acts quickly to improve value for money for those struggling to set aside for their retirement." Previous research by the Telegraph found that hidden charges and fees meant British workers" pension savings could be 50 per cent smaller than those of workers on the Continent who have saved the same amounts. Some fees can swallow three-quarters of all the money workers save. Industry insiders said the proposals from the OFT could embarrass Ministers given Nest's 1.8 per cent levy. A spokesman for the Department of Work and Pensions (DWP) insisted that Nest's annual management fee was just 0.3 per cent, meaning an overall "combination charge" of 0.5 per cent - within the likely cap. The Government will launch its own consultation on proposals for a crackdown on hidden pensions fees and charges once the OFT report is published. Gregg McClymont, Labour's shadow pensions minister last night said the report had to mark the "start of real action" by Ministers. He said: "The Government has dragged its feet on rip-off pensions for far too long. The OFT report must be the start of real action by the Government to tackle vested interests in the pensions industry and to create pensions people can trust. He added: "Labour has proposed amendments to the Pensions Bill which would tackle rip-off pensions. If the government is serious about doing the same, it needs to adopt Labour's proposals.