Private pension saving may have to be made mandatory in the future, according to leading retirement expert, solicitor Mr John Costello. Speaking at the launch of the second edition of his best-selling book Law and Finance in Retirement in Dublin yesterday, Mr Costello also said it would not be long before there were legal challenges to certain occupational pension schemes.

Under the legislation introducing personal retirement savings accounts (PRSAs), people who have been members of occupational schemes for more than 15 years will not be eligible to transfer to a PRSA.

"Occupational pension scheme funds over 15-years-old must buy an annuity for the holder, which ends on their death, leaving no assets to be passed to dependants.

"I believe this will be challenged in court as it contrasts with the rights of holders of AVCs, PRSAs and other personal pensions, who can leave assets from their pension to their dependants," he said.

According to the most recent information from the Central Statistics Office, one out of every two workers has their own private pension.

PRSAs are designed to increase private pension coverage from these levels to about 70 per cent.

"How do you force people to have their own pension scheme unless it's mandatory?" Mr Costello asked, adding that he didn't know whether such a step would be legal.

Law and Finance in Retirement sold around 4,000 copies when it was first published in 2000. The new edition includes the changes in issues affecting retired and older people, including those brought in under the Pensions Act 2002 and the Finance Act 2002.

Other new topics covered in the book are equity-release schemes tailored to older people's needs, new community support schemes and housing grants, and recent case law for separation and divorce.

The book also covers wills and tax, community and residential care, savings and investments, medical treatment and enforcement of legal rights.