Friday, 20 December 2013

Old Argument

Having dissected the 123 Page Autumn Statement (welcome to my world), there was some clear and hard hitting words on the State Pension.
 
George Osborne announced in his speech plans for the pension age to "keep track with life expectancy"……or as I like to call it…...a £500 billion saving for the Government by ensuring we get the State Pension later in life.
 
It means people now in their forties will not get the state pension until they are 68, while those in their thirties will have to wait until they are 69. And don’t expect this to be the last time there will be increases.
 
You will see from my comments back in July, this will be a reoccurring problem unless the timebomb is addressed properly and not half-heartedly. 
 
 
So the question is……if we take the responsibility to save for retirement personally / privately to create additional income to the State Pension, how can we do so when the goalposts on age keep moving?
 
It is the longest running oxymoron coming out of Westminster……encourage us to save for old age whilst pulling the rug from beneath our feet.
 
The law of averages tells me that after decades of failure on this subject, sooner or later a Government has to get this right.
 
I live in hope.
 

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