Dr Oonagh McDonald CBE, leading retirement income reform campaigner has questioned whether hund...
Dr Oonagh McDonald CBE, leading retirement income reform campaigner has questioned whether hundreds of thousands of women are set to lose out financially from the introduction of stakeholder pensions.
McDonald argues that on a level annuity women will receive almost a £1,000 a year less than a man with the same sized pension fund. Annuity returns for women provide an income, on average, of 10% a year less than for men. Furthermore, McDonald says that life expectancy for men, once they have reached 65, is only marginally lower than that for women, and the difference is narrowing.
The Retirement Income Reform Campaign has concluded that over 500,000 working women age 35 and over will eventually suffer lower annual retirement income than men because of the sex discrimination implicit in the current annuities scheme.
Former Labour MP McDonald is urging the Equal Opportunities Commission to investigate discrimination within the existing annuities scheme following the commencement of stakeholder pensions on Friday 6 April.
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