The vast majority of pensioners rely on the State pension for survival
Pension Payments are Unsustainable and Invite Radical Change
The cost of pension support to the UK exceeds £110bn annually. Expenditure will automatically uplift by at least 2.5% each year (up to 2020) meeting the Tory government “triple lock” commitment to pensioners. Overall expenditure will rise even further, as the percentage of the population grows older.
Projections are that £1 of each £6 of public expenditure will be on pensions against an optimal level of £1 of each £10. But how is a £45bn cut in cost to be achieved? Note the “triple lock” commitment ends in 2020, which may signal the introduction of radically revised pension arrangements including the end of the “triple lock” and a further qualifying age rise offsetting the increasing number of pensioners.
The influential, Taxpayers’ Alliance (no friend of state pensioners) is lobbying the government hard pursuing a reduction in the cost of pension support, to a level matching the economic reality of the UK’s financial situation and one that does not benefit pensioners to the financial detriment of the working population, many of whom have not had a pay rise for many years.
A Department of Work and Pensions spokesman said recently: “The government has protected the incomes of millions of pensioners with the triple lock and is committed to continuing this uprating mechanism for the state pension until 2020.” (note the cryptic qualification)
Scottish pensioners and anyone who might be over 60 years old should reflect on the facts that the financial care of pensioners within the UK is not encouraging and a careful study of projected arrangements in an independent Scotland is warranted before casting their vote in any future Scottish Referendum.
Fiscal policies of the UK government are adversely affecting pensioners