David Cameron has suddenly rediscovered pensioners. In his New Year’s resolutions for 2014, he has announced a vote-catching promise to extend the triplelock on pension increases for the life of the next Parliament. Sounds good ?????
In Daily Mail speak that translates to a headline grabbing:-
£1000 a year by 2020
Sounds almost too good to be true – so let’s work it out. From April 2014 the basic state pension is £113.10 per week:-
- plus 2.5% in 2015 = 115.93
- plus 2.5% in 2016 = 118.82
- plus 2.5% in 2017 = 121.80
- plus 2.5% in 2018 = 124.84
- plus 2.5% in 2019 = 127.96
- plus 2.5% in 2020 = 131.16
A bit of a slow burn promise and of course it only applies if the conservatives are re-elected in the 2015 general election. Oh and not in Scotland if you vote for Independence.
Still, an extra £20 per week is not to be sneezed at, even if you catch a cold with energy prices rising by 10% a year. The good news is that the other political parties are likely to follow Mr Cameron’s lead rather than risk losing 12 million pensioners’ votes. If that happens, we will be back at square one with nothing much to choose between the political parties as far as pensions are concerned.
- Hospitals are filling up with older people;
- Domiciliary care has all but disappeared;
- Savings rates remain at zero;
- Energy and food costs keep rising.
So That’s Alright Then!