Basic State Pension Crucial in Solving Pensions Crisis

The solution to the pensions crisis must start with a decent basic state pension, the Liberal Democrats said in response to a recent report by the Employer Task Force on pensions.

Commenting on the report, Liberal Democrat MP for Leicester South, Parmjit Singh Gill said:

"Hundreds of elderly pensioners in my constituency are failing to get the pension they have earned, deserve and need because of the demeaning and unworkable means tests introduced by this Labour government.

"Part of the solution is simple; we must ensure there is a decent basic state pension, free of means testing, on which hard working people can build their own savings.

"The Liberal Democrats would increase pensions for the over 75's by £25 a week and link it to earnings, lifting 1 million people out of means testing altogether.

"And we would encourage a culture of saving among the workforce by making occupational schemes "opt out" rather than "opt in", so that employees would have to make a conscious decision not to save for retirement. Our policies are common sense, fair and affordable."

ENDS

Notes to Editors:

1 The Liberal Democrats are committed to raising the basic state pension for the over 75s by £25 to £105.45 a week for single pensioners and by £33 to £160.95 a week for couples.

2 The Liberal Democrats are the first major political party to commit to restoring the link between pensions and earnings for the over 75s.

3 This policy is part of a whole package of Liberal Democrat proposals that would improve the lives of our older citizens, most notably to provide free personal care for the elderly and to Axe the unfair Council Tax