View more on these topics

Corbyn backs flexible state pension age

Labour-Supporters-Conference-2012-700x450.jpg

Labour leadership favourite Jeremy Corbyn has pledged to introduce a flexible state pension age in the UK to address concerns the existing rules could create a “two-tier” system.

Writing in today’s Daily Telegraph, Corbyn warns current increases in the pension age are unfair on workers with physically demanding jobs.

The Islington North MP calls for a debate around greater flexibility for the state retirement age, increases in which, he argues, allow those with well-paid jobs to take early retirement, while those with the least savings are forced to work into old age.

He says: “It will create a two-tier system in which the fortunate few can retire into long contentment, while increasing numbers retire later in poor health and poverty.

“So we need a flexible pension age that allows people to work for as long as they want to, while also recognising that for many people the nature of their work, their health, or their disability may not allow that.”

Corbyn wants to establish an ‘Older People’s Commission’ in opposition to assess reform options over the next five years.

He says: “If we want dignity for all in old age, then it has to be paid for. That’s why I believe Labour in opposition should establish an Older People’s Commission to create a new deal for older people, with funding options that can be discussed throughout the country in advance of 2020.”

This body would look in particular at public spending cuts, which Corbyn says have resulted in £4.6bn being taken from social care budgets since 2011. He also echoes fellow leadership candidate Andy Burnham’s call for the NHS to be transformed into a National Health and Social Care Service.

Corbyn says: “Such an integrated service would end the scandalous lack of care time, which leads to neglected older people requiring more expensive hospital care.

“And it would cut out the exploiters and exploitative working conditions suffered by too many care workers, who should be put onto NHS pay scales and given time to care for the person’s needs.”

However, Corbyn admits such a programme would be expensive and could require increases in income and corporation tax.

He says: “The basic rate of income tax was 25 per cent a generation ago; now it’s 20 per cent.

“For most of Mrs Thatcher’s time in office, higher earners were paying 60 per cent; now even the super-rich only face a 45 per cent rate. After 18 years of Thatcher and Major’s Conservative governments corporation tax was 33 per cent. If George Osborne has his way it will be just 18 per cent by 2020.”

Recommended

Labour-Supporters-Conference-2012-700x450.jpg

Budget: Labour backs personal allowance reforms

Labour interim leader Harriet Harman has backed Chancellor George Osborne’s plans to cut taxes for working people but cautioned that Britons will still be worse off. Responding to Osborne’s Summer Budget today, Harman said Labour would support the Chancellor in his efforts to raise the personal allowance to £11,000 and increase the 40p threshold to […]

Hourglass-Clock-Time-Race-Measure-700x450.jpg

Labour pension freedoms report pushed to end of 2015

An independent report into the pension freedoms commissioned by Labour before the general election will not be published until the end of 2015. The findings of the pensions market study, being carried out by Cass Business School professor David Blake, were initially due to be unveiled in the summer. However, Blake now says the report […]

1

Former Treasury minister attacks Labour over pensions policy

Former Treasury minister Liam Byrne has admitted Labour failed to provide a compelling offering to retirees in the build up to the general election. Byrne, who authored an infamous note informing his successor Danny Alexander that “there is no money” upon leaving government in 2010, said the Conservatives gained more than two million more votes […]

Greece: the sideshow continues

Artemis managers James Foster, Mark Page and Laurent Millet comment on the Greek deal, describing it as “just another fudge” getting in the way of bigger developments in China, the UK and the US. To read the full article click here.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. Where to start, Mr Corbyn?
    I suppose it`s not worth referring to the lower levels of NI payable when income tax was 25% – i.e. 9% employee and 10.45% employer?
    Nor would it be worth mentioning the fact that Thatcher inherited an 83% higher rate tax rate in 1979, which was systematically reduced by 1988 to 40%.
    And, just for good measure, the 15% Investment Income Surcharge was a real boon for the economy, until its abolition in 1985.
    Sclerotic doesn`t begin to cover it.

  2. So big rises in tax for starters.

    Not at all clear where he wants to start on flexible SPA.

    Presumably a body would be needed to set the SPA for anyone not happy with the Default.

    More Humphries needed.

Leave a comment