View more on these topics

‘Mean spirit’ delays pension rise

Pension consultant Ros Altmann has labelled Chancellor Alistair Darling “mean-spirited” for waiting until November to implement a £4,000 boost to the capital disregard on pension credit.

Darling has increased the capital disregard from £6,000 to £10,000, which he claims will see pensioners gain an average £4 a week.

He said: “The fall in interest rates has been a welcome benefit to the economy and millions of homeowners but this has also reduced the amount of interest paid on savings and particu- larly hit pensioners. For over a decade, the capital disregard has been at £6,000 or below. I believe it is now time to increase these limits, which will help compensate modest-income pensioners with limited savings.”

But Altmann says pensioners cannot afford to wait until November. She says: “There is a lot of jam in this Budget for tomorrow but pensioners will not be alive to benefit from it. Pensioners lost their income months ago and many are doing without meals. It is mean spirited not to implement the change now. Darling has announced instant action for mortgages and banks but when it comes to pensioners, there is no sense of urgency.”

Darling has also reaffirmed that the basic state pension will rise by 2.5 per cent at the next tax year regardless of inflation, which is expected to remain negative until September.


Risk-free path to pensions is a myth

Robin Geffen, Fund Manager and CEO Are you taking enough risk? Robin Geffen, Founder of Neptune and Manager of the top performing Global Alpha Fund, discusses the importance of accepting enough volatility in planning for retirement. Click here to read the full article Important information Investment risks The value of an investment and any income from […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm