I know, it’s crazy.

But let’s remind ourselves of the facts here.

The state pension is £102.15 per week, which means the government, and by extension, we, are giving pensioners £400 per month or £4,800 per year. Then there is a free TV licence, worth £100, and fuel allowances, and cold payments, and other allowances.  There is also the Second State Pension, which apparently pays an extra £25 per week on average, or £1,200 per year. And then, if you are still not receiving enough money to live on, there are pension credits.

Pensioners have a higher threshold before they pay any tax at all – over £10,000, compared to £8,100 (approx.) for today’s workers.

If pensioners have worked and saved they should have a private pension which will provide an additional income over and above all the income sources mentioned above.

None of the benefits which pensioners receive today are being taken away. So, if a pensioner is receiving any of the benefits above today, they will continue to receive those.

What this budget lays out is that some of these benefits will not be available to future pensioners, nor will the current allowances continue (automatically) to grow with inflation.

Yes, it’s a tough message. For those who’ve worked and saved, and have an independent income, all of the above is just gravy. For those who haven’t, the above is what they can expect. Anyone retiring in the future can expect less. I believe this government is moving towards a universal pension scheme, where all pensioners will get the same – more or less. By removing anomolous benefits here and there, and baking those into the basic pension, we can save on admin costs and ensure that the basic pension is more generous.

I repeat, no-one is losing anything they currently receive. But, things will look different in the future. As time passes, things change. That’s a natural phenomenon. The Daily Mail will just have to get used to it. But then, I suppose there are *some* things that don’t change 🙂

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