Thursday, January 01, 2009
Focussing on Pensions
Congratulations to Welsh Liberal Democrat Shadow Minister for Works and Pensions, Jenny Willott for starting off 2009 as we mean to go on by focussing on the poor deal available to pensioners in today's Western Mail.
She has used the 100th anniversary of the introduction of the first state pensions by a Liberal Government to call for an increase for all pensioners:
Currently, pensioners aged 70 and over who qualify for the state benefit receive £90.70 a week.
This rises to £124 per week if they are eligible for the top-up Pension Credit payout.
But Jenny Willott, the Liberal Democrats’ spokeswoman for Work and Pensions claimed all pensioners should have their income increased to this level, as the existing system is “letting down” the elderly.
The MP for Cardiff Central said: “The percentage of women who qualify for the state pension is very low, and in some cases pensioners are forced to make really basic decisions they should not have to. Pensioners living below the poverty line can claim for Pension Credit, but I think the state pension should be topped up to this level for all.”
Ms Willott added that the process of claiming add-on credits can be complicated and intrusive, and that in some cases, pensioners have to complete 30-page forms and provide proof of income and savings before learning whether they are eligible to make a claim.
“I think many people decide it’s not worth the hassle and don’t bother to claim,” she said. “It is a huge amount of work, particularly for those in their late 70s and 80s.”
The newspaper highlights research published by insurer Friends Provident which reveals that 75% of Britons feel the state pension does not provide an adequate income for retirement. The survey also discovered the average person believes they will need £832 a month, excluding mortgage or rent payments, to have a comfortable retirement – almost double the £439 a single pensioner currently receives from the government.
The government has promised to index link the pension by 2012 but clearly there is a case to do so earlier. This is a good campaign for the Liberal Democrats and no doubt we will be saying much more on the issue during the year.
She has used the 100th anniversary of the introduction of the first state pensions by a Liberal Government to call for an increase for all pensioners:
Currently, pensioners aged 70 and over who qualify for the state benefit receive £90.70 a week.
This rises to £124 per week if they are eligible for the top-up Pension Credit payout.
But Jenny Willott, the Liberal Democrats’ spokeswoman for Work and Pensions claimed all pensioners should have their income increased to this level, as the existing system is “letting down” the elderly.
The MP for Cardiff Central said: “The percentage of women who qualify for the state pension is very low, and in some cases pensioners are forced to make really basic decisions they should not have to. Pensioners living below the poverty line can claim for Pension Credit, but I think the state pension should be topped up to this level for all.”
Ms Willott added that the process of claiming add-on credits can be complicated and intrusive, and that in some cases, pensioners have to complete 30-page forms and provide proof of income and savings before learning whether they are eligible to make a claim.
“I think many people decide it’s not worth the hassle and don’t bother to claim,” she said. “It is a huge amount of work, particularly for those in their late 70s and 80s.”
The newspaper highlights research published by insurer Friends Provident which reveals that 75% of Britons feel the state pension does not provide an adequate income for retirement. The survey also discovered the average person believes they will need £832 a month, excluding mortgage or rent payments, to have a comfortable retirement – almost double the £439 a single pensioner currently receives from the government.
The government has promised to index link the pension by 2012 but clearly there is a case to do so earlier. This is a good campaign for the Liberal Democrats and no doubt we will be saying much more on the issue during the year.
