How do we penalise women’s pensions? Let me count the number of ways:1: Designed for another era2: Ten-year rule3: Part-time work and low pay4: Home responsibility protection inadequate5: Tax relief6: Occupational pensions7: Pension credit8: Contracting out9: Annuities10: Reliance on husband’s pensionThe idea of a citizen’s pension, earned in their own right, by everyone who lives in this country for, say, 25 years, would recognise the valuable role played by women and give them their own rights and dignity.The current system begrudgingly credits them, in such imperfect ways and forces most of them to rely on means’ testing. About half of our pensioners are already entitled to pension credit and most of these are women, not men. Alan Johnson has called our state pension system for women “a national disgrace” and he is right. Sadly, Mr Blunkett seems to be veering towards tinkering and credits rather than proper reform. We encourage women to do socially useful things, such as bringing up children while working part-time, caring for older relatives, taking lower-paid jobs which they can more easily fit in with family life but then they are penalised for it. Our pension system was designed for another era. Society has moved on but the politicians making the policy decisions seem to be stuck in a previous age which no longer exists. Women need their own pension rights. The state system should not penalise them and they should accrue their own pensions. With the rise in divorce rates and women who are single in later life, society surely has a duty to recognise that women can no longer be expected to rely on a husband’s pension. It’s bad enough that women end up having to take lower-paid and part-time work which means that can’t accrue as much occupational pension as men, and also means that they can’t afford to save as much as men but they should not then find that their social security rights are reduced too. Surely, women’s non-waged work is as valuable to society as the waged work, however, only the waged work – and only as long as she earns high enough wages – will count towards her pension later. Ros AltmannIndependent pensions consultant, London
Multi-manager T Bailey is delighted that the Credit Suisse incubator fund is endorsing its own views on the benefits of holding boutique funds but is critical of its “artificial restrictions” which exclude larger, more established funds.
I am writing to clarify Bupa’s policy relating to the recent terrorist incidents for both Jim Gillespie of Independent Financial Services (August 11) and your readers. Bupa will do all it can to help customers affected by recent terrorist incidents in London and Egypt. In the UK, the best place for people injured in terrorist […]
Whoever will be entering the frame of financial services next?
Hurricane Katrina will cost the insurance industry over 11bn, according to a Swiss Re preliminary estimate.The reinsurer expects its own claims to be around 277m, although it points out the complexity of the damage caused by the storm and flooding means estimates have a more than usual degree of uncertainty.Around 80 per cent of New […]
Graeme Ballantyne, business consultancy manager, looks at how you can maximise the opportunities through your professional connections As we move through the summer months it’s perhaps a good time to pause and reflect on whether the plans you’ve made for your business are bearing fruit. One area we at PruConsulting know many advisers have been […]
News and expert analysis straight to your inboxSign up
Latest from Money Marketing
Lawyers who represent investors against Berkeley Burke over allegations of mis-sold Sipps estimate more than 1,000 claims could be in the pipeline. The High Court has approved a group litigation order relating to claims against Berkeley Burke Sipp Administration, and those affected have until 23 July 2018 to register to join the group action. It […]
Do not be spooked by recent falls. The bull market has further to run. Stockmarkets have been thriving in the not-too-hot, not-too-cold “Goldilocks” backdrop of the last few years. Growth has been strong enough to boost profits, and inflation low enough to keep central bank policy loose. Recent stockmarket weakness is centred on signs that […]
The FCA continues to engage with the asset management industry on new European regulations as questions remain over how firms should report costs and charges. After over a month since Mifid II and Priips came into force, concerns have been raised on how fund fees, in particular transaction costs, should be calculated under the two […]