Brown Wrong On Pensions, Says Richard Allanach (Rugby Liberal Democrats)

Brown Wrong On Pensions, Says Richard Allanach

November 27, 2005 2:56 PM

Gordon Brown, the Chancellor of the Exchequer, is wrong to try to strangle the Turner Report on pensions even before it has been published. That is the opinion of Richard Allanach who stood for the Liberal Democrats in the recent general election.

"At the general election Labour said we shouldn't debate pensions because we should wait for the Turner report" Mr Allanach said. "Now it looks as if Labour don't want to discuss Lord Turner's recommendations either."

"It seems to me as if a clear choice is now opening up for the British public. On the one hand we could have a pension that provides a basic safety net for all and a clear incentive to save to provide for the extras. On the other we have Gordon Brown's complex means tested pension credit system which undermines the incentive to save for most people. Liberal Democrats want to go down the road of a decent pension and an incentive to save even if the price we have to pay to get this is that age at which the state pension starts will have to gradually rise." he added.

Liberal Democrats estimate that by 2050, 80% of pensioners will be living on means tested pensions if Gordon Brown's policies are left in place. Last week the Liberal Democrats announced our own contribution to the pension debate. An outline of our policy proposal is:

a) A basic citizens pension set now at around £110 a week and increased in the future in line with earnings.

b) Scrapping Gordon Brown's means testing approach to pensions.

c) Introducing a low cost BRITSAVER pension run by National Savings which all employees would join unless they opted out.

d) Gradually increasing the age at which people become eligible to draw the state pension to 67 starting in 2030.

e) Allowing employees to use age discrimination legislation to protect their right to work after the age of 65.

More information on Liberal Democrat plans can be found on the national party web site.

Rugby Liberal Democrats