There’s some bad news for employees with generous company pensions following the publication of a government green paper on the future of Defined Benefit (DB) pensions.
The Guardian reports that, under the proposals, firms could cut pension promises to 11 million people, dramatically reducing their income in retirement.
The plans are likely to face fierce opposition from unions given they would permit companies to save £90 billion by providing annual increases in their retired employees’ pensions based on the consumer price index, rather than the retail price index. Analysis by Hargreaves Lansdown suggests that for every £1,000 in pension income in 1988, under RPI it had increased to £2,586 this year, but only £2,105 under CPI. Fuel Motorists who fill up at supermarket fuel stations may find they no longer save money on their fuel bill. According to new research by the AA published on ThisisMoney, the petrol price gap between the big four supermarkets and dedicated fuel retailers has dropped below 3p for the first time in over a year.
Pay gap
The BBC reports on an attack on the government by MPs who say ministers have failed to implement reforms aimed at eliminating the gender pay gap.
Comments
Join the debate for just $5 for 3 months
Be part of the conversation with other Spectator readers by getting your first three months for $5.
UNLOCK ACCESS Just $5 for 3 monthsAlready a subscriber? Log in