Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • Former MSE Helen
    • By Former MSE Helen 23rd Mar 11, 9:25 AM
    • 2,324Posts
    • 971Thanks
    Former MSE Helen
    MSE News: Budget 2011: 140 a week state pension planned
    • #1
    • 23rd Mar 11, 9:25 AM
    MSE News: Budget 2011: 140 a week state pension planned 23rd Mar 11 at 9:25 AM
    This is the discussion thread for the following MSE News Story:



    Last edited by MSE Guy; 23-03-2011 at 12:19 PM.
Page 1
    • bilbo51
    • By bilbo51 23rd Mar 11, 4:32 PM
    • 511 Posts
    • 250 Thanks
    bilbo51
    • #2
    • 23rd Mar 11, 4:32 PM
    • #2
    • 23rd Mar 11, 4:32 PM
    Read between these lines!


    From the Red Book:

    2.14 State pension reform – The Government intends to reform the state pension system for future pensioners so that it provides simple, contributory, flat-rate support above the level of the means-tested Guarantee Credit. The Government will honour contributions to the current system. The Department for Work and Pensions (DWP) will shortly publish a Green Paper to consult on options for reform, which will include a proposal for moving towards a single tier pension. These reforms will be designed so as not to increase public spending dedicated to state pensions. Final proposals are subject to confirmation, including on affordability, and will reflect the projection set out in the OBR’s Fiscal Sustainability Report.


    2.15 State pension age
    – Given the continuing increases in life expectancy, the Government will bring forward proposals to manage future changes in the state pension age more automatically, including the option of a regular independent review of the implications of longevity changes.

    • RuthMarianna
    • By RuthMarianna 23rd Mar 11, 4:42 PM
    • 542 Posts
    • 1,107 Thanks
    RuthMarianna
    • #3
    • 23rd Mar 11, 4:42 PM
    Still based on contribution?
    • #3
    • 23rd Mar 11, 4:42 PM
    I heard it mentioned in the budget that pensions will still be based on contributions. So I wonder how that would leave me with lots of missing years from not working while bringing up children and not going back since they grew up.

    Currently my husband gets Pension Credit although he is only 60. So I wonder how the changes to Pension Credit will come in and whether it will be phased out so that we would be no worse off as I do not qualify for my pension till 2017 and even then I am not surewhether I would get the full flat rate proposed or not.

    The theory of the flat rate pension is good if it works out in practice avoids leaving some people worse off.
    No 314 in "This Will Be Mine In 2009"
    Beginning my first full year of comping so hoping to follow in the footsteps of all the previous lucky winners on here!:rolleyes:
    • ArKay
    • By ArKay 23rd Mar 11, 7:06 PM
    • 8 Posts
    • 3 Thanks
    ArKay
    • #4
    • 23rd Mar 11, 7:06 PM
    • #4
    • 23rd Mar 11, 7:06 PM
    ..... and leading on from a similar question in a similar forum last month. Will it still be contribution based? That is, if I was away from work (kids or just did not pay sometimes when self employed) will I still get the 140 flat rate?
  • Hayseed
    • #5
    • 24th Mar 11, 2:39 PM
    • #5
    • 24th Mar 11, 2:39 PM
    I took early retirement and paid 6 years voluntary contributions to get my full entitlement. Osborne says new 140 rate does'nt apply to existing claimants . Does this mean I'll only be getting the current basic and not the increased rate ? Isf so it's absolutely outrageous and unfair. What can I do ?
    Hayseed
    • StevieJ
    • By StevieJ 24th Mar 11, 4:31 PM
    • 19,537 Posts
    • 32,529 Thanks
    StevieJ
    • #6
    • 24th Mar 11, 4:31 PM
    • #6
    • 24th Mar 11, 4:31 PM
    So how do people think a move from 100 to 140 for quite a number of future pensioners is going to be financed.

    Admin savings - I don't think so

    Longevity age increases - We need those to pay for the system as it stands.


    I admit I am baffled but I don't expect a positive outcome.
    • bilbo51
    • By bilbo51 24th Mar 11, 6:23 PM
    • 511 Posts
    • 250 Thanks
    bilbo51
    • #7
    • 24th Mar 11, 6:23 PM
    • #7
    • 24th Mar 11, 6:23 PM
    I took early retirement and paid 6 years voluntary contributions to get my full entitlement. Osborne says new 140 rate does'nt apply to existing claimants . Does this mean I'll only be getting the current basic and not the increased rate ?
    Originally posted by Hayseed
    Looks like it.

    Isf so it's absolutely outrageous and unfair. What can I do ?
    Hayseed
    Originally posted by Hayseed
    Complain furiously?
    • hansi
    • By hansi 24th Mar 11, 6:24 PM
    • 2,903 Posts
    • 569 Thanks
    hansi
    • #8
    • 24th Mar 11, 6:24 PM
    • #8
    • 24th Mar 11, 6:24 PM
    I took early retirement and paid 6 years voluntary contributions to get my full entitlement. Osborne says new 140 rate does'nt apply to existing claimants . Does this mean I'll only be getting the current basic and not the increased rate ? Isf so it's absolutely outrageous and unfair. What can I do ?
    Hayseed
    Originally posted by Hayseed
    Are you getting more than 140 a week now? I suppose different people have differing rates of pension,eg, serps, graduated pension. My current state pension pays me more than 140. What the Chancellor said that it would not affect existing pensioners, by that I assume he means pensioners like myself. That's how I understand it.
    • nad1611
    • By nad1611 24th Mar 11, 8:47 PM
    • 663 Posts
    • 284 Thanks
    nad1611
    • #9
    • 24th Mar 11, 8:47 PM
    • #9
    • 24th Mar 11, 8:47 PM
    I heard it mentioned in the budget that pensions will still be based on contributions. So I wonder how that would leave me with lots of missing years from not working while bringing up children and not going back since they grew up.

    Currently my husband gets Pension Credit although he is only 60. So I wonder how the changes to Pension Credit will come in and whether it will be phased out so that we would be no worse off as I do not qualify for my pension till 2017 and even then I am not surewhether I would get the full flat rate proposed or not.

    The theory of the flat rate pension is good if it works out in practice avoids leaving some people worse off.
    Originally posted by RuthMarianna
    Did you receive Child Benefit in your name while your children were growing up I believe you do get Contributions paid as a result. Need to check this, so it may not be as many missed years as you think. You can get a PensionForecast on the direct.gov site.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

1,011Posts Today

5,707Users online

Martin's Twitter
  • I once blurted out on @gmb "Theresa May hasn't been given a poisoned chalice - she's been given a poisoned chalice? https://t.co/onfRbY3XVg

  • It'd be fascinating to know how history will judge Theresa May's premiership. Currently, it is hard to see it as a? https://t.co/eH77G0O9LA

  • Are you secretly trying to tell us Geri is going to take over? Will she tell us what we want, what we really reall? https://t.co/MOxa0jzPD7

  • Follow Martin