UK pension rises are at risk – Webb

UK pension rises are at risk – Webb.

Pensions minister Steve Webb said that nobody could guarantee the survival of the ‘triple lock’ system after the next general election.

The triple lock system, which ensures that sure the basic state pension will always rise according to the highest of average earnings, inflation, or 2.5%, has so far kept pensions on an upwards path. It has so far been key to maintaining the ‘grey vote’.

But Webb’s comments are the latest in the fiery debate in Parliament over whether the advantages offered to pensioners can be sustained.

In an interview with the Financial Times, Webb said that in 2015, each party would say what it would do about the triple lock. He said he was personally in favour of keeping it, but that the issue would have to be discussed as a party.
Benefits for high income pensioners are also set to be trimmed down.

Webb said that in light of an increasing generation gap in intergenerational equity, it was unfair to expect “our children and grandchildren [to just do] more and more.”

  1. June 19th, 2013
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