The government is considering phasing in the 3.2 percentage point increase in public sector workers' pension contributions over three years, a slower pace than previously planned.
Plans to make £2.8bn worth of savings to public sector pensions by hiking contributions by an average of 3.2 percentage points may not take effect until 2015. It follws a mooted announcement from Chancellor George Osborne to put in place a "progressive" phasing of the increase. Reforms are now set to be put in place next April with the aim of generating £1.2bn of savings by April 2013. The next year the savings bar will rise to £2.3bn before hitting the £2.8bn target set out by Chancellor George Osborne by April 2015. As previously indicated, the intended £1.2bn worth of savings...
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