Plan to change private pension inflation link

Sir_Humphrey

A._Badger wrote: »

No, Gove should have trusted no one.

The immortal words of the Telepgraph's article say it all: "The Sunday Telegraph has learnt that...."

From whom? A 'Sir Humphry'? One of Ed Balls' henchmen? One of Ed Balls' henchmen tipped-off by a 'Sir Humphry'? A Tory with a brain, who dislikes Gove?

The 'still we serve' line is filed away under 'humour - black'.

I don't recall you complaining about stories about Gordon Brown chucking computers about.

A._Badger

Sir_Humphrey wrote: »

I don't recall you complaining about stories about Gordon Brown chucking computers about.

You're quite right. I never commented on that subject.

StevieJ

Nice comment by the Torygraph

This is reminiscent not just of the communist Karl but of the comedian Groucho who – when caught in a tight corner – said: “Those are my principles – and if you don’t like them, well, I have others

http://blogs.telegraph.co.uk/finance/ianmcowie/100006865/savers-hit-by-marxist-solution-to-pension-problem/

The pension grab may be a red herring for the private sector but it is funny how the Tory faithful turn when they think it my be them paying the price.

Andy_L

vivatifosi wrote: »

They also apply only to benefits that accrue from next April; anything earned to date is protected.....

....Section 67 of the 1995 act says employers cannot re-duce accrued benefits without the permission of the scheme member.

So its a cast iron/gold-plated guarantee for Private Sector schemes only, not Public sector. How things change

downshifter98

So are deferred (private) pensions affected or not - there seem to be contradicting messages now and, I for one, would just like to know one way or the other. On the one hand I've been led to believe that accrued benefits are sacrosanct (after Maxwell etc) but the main headlines seem to be saying that the government can just ignore various laws and take away (via a lower inflation rate) what was previously agreed (even between individuals and private companies) - if true surely this means that they can take away what ever asset you previously understood to be under your 'ownership' (and for your benefit). This would surely set a dangerous precedent and encourage f-e-c-klessness in even the most financially soundminded people (including me). Proper clarification needs to be given and soon.

downshifter98

marklv

Sir_Humphrey wrote: »

http://news.bbc.co.uk/1/hi/business/10557675.stm

Private pensions to be index linked to CPI, not RPI.



Public sector pensions were re-linked to CPI in the recent Emergency Budget.

See how this divide and rule nonsense works now?

Not sure what all the fuss is about. On the continent, inflation is always defined as CPI, not RPI. RPI is a peculiarly British thing, as we are all so obsessed with house buying, mortgages, etc. Yawn.

StevieJ

marklv wrote: »

Not sure what all the fuss is about. On the continent, inflation is always defined as CPI, not RPI. RPI is a peculiarly British thing, as we are all so obsessed with house buying, mortgages, etc. Yawn.

So you don't believe that increases in council tax should be included in the calculation of inflation?

Old_Slaphead

marklv wrote: »

Not sure what all the fuss is about. On the continent, inflation is always defined as CPI, not RPI. RPI is a peculiarly British thing, as we are all so obsessed with house buying, mortgages, etc. Yawn.

Blimey - this must be a first. Thank you marklv for a sensible post.

Old_Slaphead

StevieJ wrote: »

So you don't believe that increases in council tax should be included in the calculation of inflation?

Why ? What next - personal tax rates?

Even if they were mortgage rates certainly shouldn't be

StevieJ

Old_Slaphead wrote: »

Blimey - this must be a first. Thank you for a sensible post

So you think a measure that omits council tax but includes overseas student fees is the correct one for pensioners