Spring has finally arrived after all the rain over the past few months and the buds are in full bloom as we approach the long Easter weekend, and the clocks spring forward to the start of summertime and long light evenings.
There is plenty more to cheer us up with the 6.7% increase in Civil Service pensions from 8 April (for pensions that have been in payment for at least twelve months); and an 8.5% increase in the State Pensions from 9 April, based on the triple-lock.
The State Pension has been very much in the news in the past few days with Chancellor Jeremy Hunt announcing in a BBC interview with Laura Kunesberg last Sunday that the Conservatives would commit to continuing the triple-lock in their election manifesto. This would guarantee increases in the State Pension being the greater of: inflation; average earnings growth; or 2.5%.
A similar commitment was made by Boris Jonson in 2019, but the policy was suspended in 2022, leaving pensions falling over 5% behind the increase in average earnings.
Whilst this triple-lock has delivered last year’s 10.1% increase and this year’s 8.5% increase, future increases are likely to be much lower as inflation drops towards the Government’s 2% target, and wages growth will inevitably follow downwards.
WASPI Women vindicated by Ombudsman
Of course many women have had to wait much longer for the State Pension than they had expected when pension ages were equalised at 65 for men and women without adequate warning, then increased to age 66, leading to the campaign ‘Women Against State Pension Injustice’ (WASPI). The WASPI women were vindicated by the Parliamentary and Health Service Ombudsman (PHSO) last week when he ruled that DWP were guilty of not giving sufficient notice to women since the 1995 Pensions Act and ruled that a compensation scheme should be in place. Read the report here.
A recent report by the Institute of Fiscal Studies on ‘The Gender Gap in Pension Saving’ makes for sobering reading in observing that, whilst men have the equivalent of a £205,000 pension ‘pot’ in defined contributions schemes whilst, on average, women in these ‘money-purchase’ pensions are left with a fund of only £69,000. I recently spoke at at event on the subject, you can read an excerpt of my speech here.
Need legal advice on Wills; Probate or Powers of Attorney
Many of our members have to deal with the financial affairs of loved ones and often need advice on what to do. CSPA has teamed up with Harvey Howell solicitors to provide free initial advice on all aspects of Wills, Probate; and Powers of Attorney, You can contact them direct via 0330 175 9959 or info@harveyhowell.co.uk
They are runnig free seminars for members in Warrington, 9 April, 2pm and Liverpool, 30 April, 2pm. Full details on dates and how to register can be found here.
David, our Deputy General Secretary will be attending the National Pensioners’ Convetion (NPC) conference this week in Staffordshire, at which CSPA will be proposing a motion calling for the personal tax thresholds to be uprated in line with inflation since they were frozen in 2021.
We are pressing all affiliated pensioner groups in the NPC to jointly support our campaign to press the Government for action before the General Election to reduce the growing tax burden on pensioners on fixed incomes, which has doubled the number of pensioners now paying tax from 4.5M to 9 million since 2010. Had the basic threshold been kept in line with inflation it would now be £14,300 from April instead of £12,570.
Carer Poverty Coalition
Along with 130 other members of the Carer Poverty Coalition, we have launched a joint manifesto calling on all political parties to commit to taking action to end poverty among unpaid carers.
Across the UK, at least 5.7 million people care for a loved one who is older, disabled, or seriously ill. Yet despite the invaluable support they provide, thousands are facing serious financial hardship, with nearly 1 in 3 carers struggling to make ends meet.
To help unpaid carers living in poverty or facing financial difficulties, and prevent others from falling into poverty to begin with, we are urging the next Government to set out comprehensive plans to support carers.
Local Authority Funding and Resources
We have also recently written to the Chair of the Local Government Association and to the Department for Levelling Up, Housing and Communities about Local Authority Funding and Resources, and Reablement Services, following Motions A27 and A36 at the 2023 AGM.
Click here to read the replies from Cllr Shaun Davies, Chair of the Local Government Association, and from Simon Hoare MP, Minister for Local Government.
Finally, I wish you a Happy Easter and hope that you are able to have time with family and friends and enjoy the blooming buds of Spring.
Let’s go the extra mile together
Our trusted partner, The Charity for Civil Servants’ are once again running their Mega Miles Challenge this year and they’re calling for current, former and retired civil servants to get involved.
So why not take part this May and join a community of people strolling, walking, jogging, and even running, to support colleagues that need their help right now.