Why Steven Davies could be the tipping point for gay sportsmen

The England wicketkeeper’s decision could help break down the last taboo in sport.

It shouldn't be news. In 2011, the headline "Sportsman reveals himself to be homosexual" should not provoke oceans of coverage. But it has. The reason for that is simple. Steven Davies, the England wicketkeeper, is only the third professional British sportsman to come out of the closet in the past two decades.

Prior to Davies, the Welsh rugby player Gareth Thomas was the only openly gay top-flight sportsman in the UK. The footballer Justin Fashanu came out in 1990 and suffered nearly a decade of abuse before killing himself in 1998. Since then, no professional footballer has dared to reveal himself to be homosexual. It is the last taboo in sport.

Some might dismiss Davies's decision as easy, due to the genteel nature of the sport he plays. They are wrong. Yes, it is difficult to imagine crowds at the Oval erupting in homophobic chants, but sledging in cricket knows few limits. If someone's marital problems or mental issues are fair game, then it's likely their sexuality is, too.

Going on tour in South Africa and the Indian subcontinent – hardly bastions of tolerance for homosexuality – could also prove challenging. His career would no doubt be easier without the stigma of being the only gay man in the sport, which makes his decision incredibly brave.

But his bravery is not what makes his decision important. Davies's decision could well prove the tipping point for male homosexuality in top-class sport.

The critical thing about his coming out is the fact that he is a young, talented – but not great – player. When Thomas came out he had established himself as one of the best players Wales had ever produced, with 100 caps. (Plus, he was a 6ft 3in, 16-stone lump of muscle and could have happily beaten any homophobe into a hateful pulp.)

Davies, however, is 24 and has yet to establish himself as an England regular. Prior to his announcement, he had, in fact, just been dropped. He was not riding a wave of goodwill from a superb Ashes performance. Nor does he have a century of caps or a sackload of winner's medals to point to in a knee-jerk response to bigots.

Davies is simply a young, promising player with his career ahead of him – yet he felt confident enough to become England's only gay cricketer. If he can do it, then so can any other gay sportsman. He could well have dealt a fatal blow to the last taboo in sport.

Show Hide image

Stability is essential to solve the pension problem

The new chancellor must ensure we have a period of stability for pension policymaking in order for everyone to acclimatise to a new era of personal responsibility in retirement, says 

There was a time when retirement seemed to take care of itself. It was normal to work, retire and then receive the state pension plus a company final salary pension, often a fairly generous figure, which also paid out to a spouse or partner on death.

That normality simply doesn’t exist for most people in 2016. There is much less certainty on what retirement looks like. The genesis of these experiences also starts much earlier. As final salary schemes fall out of favour, the UK is reaching a tipping point where savings in ‘defined contribution’ pension schemes become the most prevalent form of traditional retirement saving.

Saving for a ‘pension’ can mean a multitude of different things and the way your savings are organised can make a big difference to whether or not you are able to do what you planned in your later life – and also how your money is treated once you die.

George Osborne established a place for himself in the canon of personal savings policy through the introduction of ‘freedom and choice’ in pensions in 2015. This changed the rules dramatically, and gave pension income a level of public interest it had never seen before. Effectively the policymakers changed the rules, left the ring and took the ropes with them as we entered a new era of personal responsibility in retirement.

But what difference has that made? Have people changed their plans as a result, and what does 'normal' for retirement income look like now?

Old Mutual Wealth has just released. with YouGov, its third detailed survey of how people in the UK are planning their income needs in retirement. What is becoming clear is that 'normal' looks nothing like it did before. People have adjusted and are operating according to a new normal.

In the new normal, people are reliant on multiple sources of income in retirement, including actively using their home, as more people anticipate downsizing to provide some income. 24 per cent of future retirees have said they would consider releasing value from their home in one way or another.

In the new normal, working beyond your state pension age is no longer seen as drudgery. With increasing longevity, the appeal of keeping busy with work has grown. Almost one-third of future retirees are expecting work to provide some of their income in retirement, with just under half suggesting one of the reasons for doing so would be to maintain social interaction.

The new normal means less binary decision-making. Each choice an individual makes along the way becomes critical, and the answers themselves are less obvious. How do you best invest your savings? Where is the best place for a rainy day fund? How do you want to take income in the future and what happens to your assets when you die?

 An abundance of choices to provide answers to the above questions is good, but too much choice can paralyse decision-making. The new normal requires a plan earlier in life.

All the while, policymakers have continued to give people plenty of things to think about. In the past 12 months alone, the previous chancellor deliberated over whether – and how – to cut pension tax relief for higher earners. The ‘pensions-ISA’ system was mooted as the culmination of a project to hand savers complete control over their retirement savings, while also providing a welcome boost to Treasury coffers in the short term.

During her time as pensions minister, Baroness Altmann voiced her support for the current system of taxing pension income, rather than contributions, indicating a split between the DWP and HM Treasury on the matter. Baroness Altmann’s replacement at the DWP is Richard Harrington. It remains to be seen how much influence he will have and on what side of the camp he sits regarding taxing pensions.

Meanwhile, Philip Hammond has entered the Treasury while our new Prime Minister calls for greater unity. Following a tumultuous time for pensions, a change in tone towards greater unity and cross-department collaboration would be very welcome.

In order for everyone to acclimatise properly to the new normal, the new chancellor should commit to a return to a longer-term, strategic approach to pensions policymaking, enabling all parties, from regulators and providers to customers, to make decisions with confidence that the landscape will not continue to shift as fundamentally as it has in recent times.

Steven Levin is CEO of investment platforms at Old Mutual Wealth.

To view all of Old Mutual Wealth’s retirement reports, visit: www.oldmutualwealth.co.uk/ products-and-investments/ pensions/pensions2015/