An expert has warned there are “big changes to pensions” coming in months ahead.
A state pension age and triple lock warning has been issued under threat as Rachel Reeves could consider a “rabbit in the hat” move to cut costs. An expert has warned there are “big changes to pensions” coming in months ahead
The Labour Party Chancellor Ms Reeves is expected to remain silent on pensions in the upcoming Spring Statement on March 26, any worsening of the UK’s finances could force ministers to rethink key pension policies in the months ahead.
Steven Cameron, Pensions Director at Aegon, warned that if Budget forecasts are weaker than expected, Ms Reeves “can’t rule out a ‘rabbit in the hat’ review of the state pension”.
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Cameron said: “There’s already an ongoing review of the state pension age, and government finances may mean it needs to increase further or faster.”
“While the Government has currently committed to keeping it, the formula might be adapted,” he said. He added: “Pensioners might receive an inflation increase as a minimum, and if, over the previous three years, wage growth has on average been higher than inflation, they could receive an additional uplift.
“This would protect pensioner purchasing power and make future costs less unpredictable.” He said: “If the OBR’s report and other budgetary pressures are worse than anticipated, we can’t rule out a ‘rabbit in the hat’ review of the state pension.”
Responding to the warning, one web user said: “I dislike Labour intensely. However I should like to know EXACTLY what the man he punched said to him to provoke him to that reaction. Then I will pass judgement.”
“We’re elderly & disabled through no fault of our own, which is another long story altogether. Are the Government intent on culling the old & vulnerable, as they can send any amount of money abroad & keep the hotels well stocked. Do we not have any human rights at all !?” a second sniped.
Another raged: “You can be sure of that. Labour are a group of very, very nasty people who hate the old.”
