“A comparison of state pension alone shows the UK providing a lower level of pension than most other advanced economies relative to average earnings… The UK devotes a smaller percentage of its GDP to state pensions and pensioner benefits than most other advanced economies.” – House of Commons Library.
The UK State Pension is £221.20 a week, however, it can be less if :
- you were contracted out before 2016
- the number of National Insurance qualifying years you have
- if you paid into the Additional State Pension before 2016
You can claim the UK State Pension if you are a man born on or after 6 April 1951, or a woman born on or after 6 April 1953. If you were born before, these rules do not apply. Instead, you’ll get the basic State Pension.
You have paid into the State Pension through your National Insurance Payments. You need 10 qualifying years on your National Insurance record to get any new State Pension. It is not a gift from any government, but money put aside from your wages.
Many countries are increasing the age when people are able to collect their state pension. For those born after 5 April 1960, there will be a phased increase in State Pension age in the UK to 67, and eventually 68.
Many pensioners in the UK who do not have other sources of income, such as workplace pensions, and who rely on the State Pension, struggle to meet household needs. They can apply for Pension Credit.
Pensions are a power reserved to the UK Parliament.
Pensioners make up a large percentage of the electorate so what are the political parties promising them in their manifesto pledges?
The Conservatives: ‘Clear Plan, Bold Action, Secure Future’
The Tories pledge to “Cut tax for pensioners with the new Triple Lock Plus, guaranteeing that both the State Pension and the tax free allowance for pensioners always rise with the highest of inflation, earnings or 2.5% – so the new State Pension doesn’t get dragged into income tax.”
- the new State Pension increased by £900
- the new State Pension increases by a further £430 in April next year to £11,970; and increases by £1,685 a year to £13,200 by the end of the Parliament.
- tax free personal allowance for pensioners also rises by the highest of prices, earnings or 2.5%
- From April 2025, increase the personal allowance for pensioners by introducing a new age-related personal allowance
- Pensions Tax Guarantee – maintain the 25% tax free lump sum and maintain tax relief on pension contributions at their marginal rate. No new taxes on pensions.
- WASPI women – consider the Ombudsman Report and work with Parliament on a swift response.
Labour., ‘Change’
Labour pledge to retain the triple lock for the state pension.
- A pensions review will consider what further steps are needed to improve security in retirement
- increase the state pension each year in line with inflation, average earnings, or by 2.5 per cent, whichever is higher.
- New powers for the Pensions Regulator to intervene where schemes fail to offer sufficient value for their members.
Scottish National Party (SNP) ‘A Future Made In Scotland’
The SNP pledge to “Protect pensions by maintaining the triple lock and move to deliver a wellbeing pension. We will oppose any further increases in the state pension age.”
- WASPI women – making sure the UK Government delivers full, fast and fair compensation for women who have been wronged by pension inequality.
- Provided free bus travel for over 60s and under 22s – over 2.2 million people
- Reverse the cut to Pension Credit that means older couples in Scotland could be £7,000 worse off per year
- Maximise Pension Credit uptake by following Scotland’s lead and introducing a comprehensive benefit take-up strategy for all benefits
- Provide full restitution for the victims of the Equitable Life scandal. End the delay and provide urgent funding to compensate in full those who saved diligently for retirement in good faith yet suffered serious losses through no fault of their own.
Liberal Democrats ‘For A Fair Deal’
The LibDems pledge to:
- Protect the triple lock so that pensions always rise in line with inflation, wages or 2.5% – whichever is highest.
- WASPI women – Ensure that women born in the 1950s are finally treated fairly and properly compensated.
- Develop measures to end the gender pension gap in private pensions and ensure working-age carers can save properly for retirement.
- Improving the State Pension system by investing in helplines to ensure quicker responses to queries and resolution of underpayments.
- Require pension funds and managers to show that their portfolio investments are consistent with the Paris Agreement.
Scottish Green Party ‘Vote Like Our Future Depends On It’
The Scottish Greens pledge to ‘Defend and restore our pensions’
- oppose any further increases to the state pension age, and will press for earlier access to the state pension for people with disabilities.
- support campaigns for a lower pension age for public sector workers in risky and physically demanding jobs, including emergency service workers and prison officers.
- WASPI women – The UK Government must apologise to all women impacted by the changes to state pension age, and agree to swift and fair compensation.
All the political parties recognise that the ‘Grey Vote’ is a powerful one as older people do tend to vote in elections. What they should also remember is that older people do not only think of themselves and their pensions, but of the younger generations and what the future holds for them especially with the cuts that are coming: #GE24 Manifesto Pledges & ‘the conspiracy of silence’ . Many of their votes will be based not just on what’s being promised about Pensions, but what standard of life their children and grandchildren – the future generations – will have.
The candidates standing in the Orkney and Shetland Constituency in the 4th of July General Election are:
Fiona Grahame