RPI to CPI Early Day Motion 1032

Stargazer57

exil wrote: »

I think most public sector workers accept that some change is necessary in respect of future service due to the well known factors of increased life expectancy and the long term difficulties over funding from taxation.

Increased life expectancy accounts for less than half the increased value of public sector pensions. A bigger factor has been the huge increase since 1997 in the cost of providing in advance for a guaranteed stream of income. As a result pensions that have accrued since then have been worth approximately double what anyone was told they were worth.

So while it may seem rough justice for accrued pensions to be cut I reckon everyone will still get a pension worth more than they thought it was when they were earning it.

Ripoff_2

EDM 1032 count rising, 41 MP's have of today signed the motion, this is quite good by EDM standards but we need many more. So please write to your MP and ask them to sign, it's not a waste of time because it gets the message across. If you want to find out who has already signed the motion then the link is at:

edmi.parliament.uk/EDMi/EDMDetails.aspx?EDMID=42021&SESSION=905

So far, by party, the numbers are as follows: LAB = 28 LD = 4 CON = 0 Others = 9

Keep asking your friends and family and anyone that will listen to write or Email their MP and ask them politely to sign EDM 1032. Thanks

JohnB47

Just spotted a related post on The Motley Fool website mentioning the Royal Statistical Society.

I still can't post a link (frustrating) but if you go the societies website and use their search function to search for Reeves, you'll see the link to the article called "Reeves seeks expert advice ........"

Goldenyears

Stargazer57 wrote: »

Increased life expectancy accounts for less than half the increased value of public sector pensions. A bigger factor has been the huge increase since 1997 in the cost of providing in advance for a guaranteed stream of income. As a result pensions that have accrued since then have been worth approximately double what anyone was told they were worth.

So while it may seem rough justice for accrued pensions to be cut I reckon everyone will still get a pension worth more than they thought it was when they were earning it.

This needs further explanation. Does it apply to all the public sector ?

Stargazer57

Goldenyears wrote: »

This needs further explanation. Does it apply to all the public sector ?

Yes, and it applies to some extent to private sector schemes, although their level of guarantee was much lower than that of public sector schemes before 2003 and remains lower today. Also the publicity given to the accounting cost of pensions in the private sector (under SSAP24, FRS17, IAS19 etc) gave members the clue that the true cost of schemes exceeded the amount being contributed. This certainly didn't apply in the public sector where the accounting cost is an obscure afterthought.

If NHS employees are told their scheme is worth 14% of pay for year after year I can't see how they can claim some years later that they always knew the schemes were worth 30% and they should keep every penny.

Ripoff_2

ALL, If you get a reply back from your MP that says "CPI is a better measure of inflation for pensioners" or something on that vain, then ask your MP to prove the statement please. Ask him to supply written proof from the Professional bodies, to back up his claim. It will be interesting to see what proof he can supply because I can not find any literature anywhere that backs up that claim. With CPI in it's present form even the Office of National Statistics would not be able to agree to that statement and the RSS (Royal Statistical Society) certainly does not. I quote "CPI is good as a macro-economic indicator and for comparison between countries, but it is not suitable as it is to be used for wages and pensions" said at a meeting to Steve Webb on the 23rd November 2010 by Jill Leyland from the RSS



EDM 1032 count still rising, 43 MP's have of today signed the motion, this is quite good by EDM standards but we need many more. So please write to your MP and ask them to sign, it's not a waste of time because it gets the message across. If you want to find out who has already signed the motion then the link is at:

edmi.parliament.uk/EDMi/EDMDetails.aspx?EDMID=42021&SESSION=905

So far, by party, the numbers are as follows: LAB = 29 LD = 4 CON = 0 Others = 10
Keep asking your friends and family and anyone that will listen to write or Email their MP and ask them politely to sign EDM 1032. Thanks

Prof_as_was

People have every right to maintain that the 'CPI for RPI' proposal is defensible on political or economic grounds, or because they think occupational pensioners get more than they deserve, or whatever. But tThis is the wrong site for them and such arguments. This is Moneysavingexpert.com, and I don't think it's meant to be about saving Treasury or BT shareholders' money - is it?

Old_Slaphead

Prof_as_was wrote: »

But tThis is the wrong site for them and such arguments. This is Moneysavingexpert.com, and I don't think it's meant to be about saving Treasury or BT shareholders' money - is it?

What about (a) the taxpayer - as the treasury doesn't have any money of it's own, (b) little old ladies/gentlemen having to pay more for their landline rental and (c) the little old taxpaying ladies/gentlemen who will have to pay for both?

MoneySaving,in this case, affects 2 groups - those who get the benefit and those who have to pay for it !!!

Linton

Prof_as_was wrote: »

People have every right to maintain that the 'CPI for RPI' proposal is defensible on political or economic grounds, or because they think occupational pensioners get more than they deserve, or whatever. But tThis is the wrong site for them and such arguments. This is Moneysavingexpert.com, and I don't think it's meant to be about saving Treasury or BT shareholders' money - is it?

It would be strange if advocating some arguable point was permitted but disagreeing with it wasnt.

Goldwing1

Ripoff wrote: »

ALL, If you get a reply back from your MP that says "CPI is a better measure of inflation for pensioners" or something on that vain, then ask your MP to prove the statement please. Ask him to supply written proof from the Professional bodies, to back up his claim.

Done. Reply awaited.