20-3-02

GOVERNMENT POLICIES BUILDING FUTURE PENSIONER POVERTY - BARRETT

John Barrett MP, Liberal Democrat MP for Edinburgh West, today joined Liberal Democrat calls for more openness about the Government’s plans for the basic state pension.

Whilst Liberal Democrats have welcomed the above inflation increase of the state pension this April, in future, pensioners will see only a fraction of the basic state pension’s current value.

Now Mr Barrett has called on the Government to confirm that the state pension will continue to provide a secure future for those heading towards their retirement.

In a statement, John Barrett said:

“It has been forecast that by the year 2050, the basic state pension will be worth just 6-7% of average earnings, less than £30 in today’s prices. That is simply not a stable or adequate level for which people can build incomes for their retirement.

“I and my Liberal Democrat colleagues are very concerned about the Government’s pension policy which has the potential to build up future pensioner poverty. The Government must take action now to tackle the poor levels of saving amongst the young, encouraging people to start saving now to ensure a comfortable retirement.”

ENDS