State pension changes?

Errata

Has anyone gained the faintest glimmer from today's chitter chatter what the plan is for changes to the SRP?

Will it mean that those already retired and not eligible for PC, but who may be on less than the basic of £97 pw will be second class citizens compared to those who will retire on the new flat rate of £140/155/a bit more than that ?

Newly_retired

Regrettably, yes. Those already on SRP do not stand to benefit from any changes, as things stand, unless the govt do another u-turn after pressure from the likes of us.

Torry_Quine

Sadly with any changes there are always be winners and losers. There has to be a cut-off point somewhere though.

Errata

Why does there have to be a cut-off point? A flat rate for every pensioner of whatever age and retirement date means the whole system could be run by the office boy and his cat.

welshmoneylover

Isn't PC the benefit that will open up an avenue to council tax benefit?

If this flat rate pushes everyone above the PC threshold, does this mean that there will be no access to council tax benefit either?

wealdroam

welshmoneylover wrote: »

If this flat rate pushes everyone above the PC threshold, does this mean that there will be no access to council tax benefit either?

Sounds ok, doesn't it?

With the higher pension, there will be no need for Pension Credit or Council Tax Benefit.

moonpenny

Surely this means it will be a 2 Tier system. Those already retired getting less than the newly retired.

They are supposed to be doing this to get away from the means tested system thats in place now (with Pension Credit etc) but that means they will then be running 2 systems.

moonpenny

Torry_Quine wrote: »

Sadly with any changes there are always be winners and losers. There has to be a cut-off point somewhere though.

How can you justify a "new" pensioner being paid more than an "old" one?

When the government puts up the minimum wage it goes to everyone, not just the ones who are starting a new job.

Errata

It will indeed make it a two tier system. Those pensioners who will be on the lower tier will be those who saw very hard times as children during WW2 and in the 40's, whilst the baby boomers will be quids in.

Torry_Quine

moonpenny wrote: »

How can you justify a "new" pensioner being paid more than an "old" one?

When the government puts up the minimum wage it goes to everyone, not just the ones who are starting a new job.

Where did I justify it though? It's a whole new system and can't happen overnight if indeed it ever actually happens. I would like to have thought that current pensioners while disappointed it won't affect them would be pleased that in the future pensioners will hopefully be better off.

Errata

Of course it will effect current pensioners. Those now on the max SRP and not eligible for PC because they have either a small occ pension and/or savings which takes them over the limit will be far worse off than a new pensioner oiin the larger SRP whose occ pension and/or savings will be disregarded.