The Treasury has denied media reports it proposed a pension compromise plan to offer earnings-related pensions to those over the age of 75.
Earlier media reports suggested the Treasury had put forward a proposal to link the pensions of those over the age of 75 to earnings instead of inflation during discussions on pensions reform.
The reports suggested the proposal could have been seen as a compromise in response to the Pensions Commission’s idea to link the entire basic state pension to earnings, which has been reported as being considered too expensive to adopt by the Treasury.
However the Treasury department has denied the reports saying: “This story is wrong. No such proposal has been made by the Treasury. As the Chancellor and Prime Minister have repeatedly made clear, any solutions must be affordable. We are 90-95% there. But the White Paper is still weeks away.”
It is also understood from the Treasury that in addition the over 75s option is not even an idea it is particularly keen on pursuing, adding there are still a range of options on the table, which are being discussed between the various government departments.
If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Nyree Stewart on 020 7968 4558 or email [email protected]IFAonline
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