Budget 2011: Single-tier £140pw state pension gets go ahead

He said the current system is "inbelieveably complex" and adds the proposed system will be flat-rate and still based on contributions. Osborne also said the new single-tier pension is likely to be worth £140 per week. The new system, the Chancellor said, will not apply to current pensioners and will take several years to implement. He added a single tier system would end contracting out for defined benefit (DB) schemes, which has already been banned for defined contribution (DC) schemes from April 2012. However, Osborne said the government will "investigate the potential impact ...