Praise for final pensions report

Wed, 05 Apr 2006

The final Turner report from the Pensions Commission has been praised by the campaigning charity Help the Aged.

It praised the commission for helping to provide a structure to the pensions debate, but urged the government to now "forge ahead" to deliver real change and reform.

However, Mervyn Kohler from the charity commented that the government is still lagging behind in properly addressing the problem of pensioner poverty.

"A fifth of our pensioner population are languishing below the poverty line while many of today's workforce face what could be a very bleak retirement," he commented.

The charity was particularly critical about the current method of means-testing as an attempt to ensure the poorest pensioners received some help.

It said that up to £3.8 billion remains unclaimed every year due to the complex nature of claiming a variety of benefits.

It was also seen as a "roadblock" to personal pension saving as it meant that people with relatively low incomes who tried to put some funds into a pension saving scheme would then be penalised when their own savings counted against them when applying for state pension payments.

The government is now being urged to tackle the "creaking pensions system".

"Pensioner poverty is far too important an issue to be caught up in the paralysis of political bickering", concluded Mr Kohler.

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