The TaxPayers' Alliance has just published a new paper on pensions. In it they highlight the catastrophic damage inflicted by successive governments on the pensions of private sector employees, and the gross unfairness compared to the public sector's arrangements for its own employees.
The TPA paper points out:
- Pension funds have lost between £150 billion and £225 billion as a result of the pension tax grab in the 1990s; private sector occupational schemes have been smashed, with active membership plummeting 41% in the past 12 years - at this rate there will be no active members in 12 years’ time.
- Over 17,000 public sector pensioners now enjoy pension benefits worth a million pounds or more, and unfunded public pension liabilities now exceed £1 trillion, over 70 per cent of GDP.
- The value of the Basic State Pension is down 20% since 1950.
- MPs and BBC staff keep their pensions secret - even though we pay for them
No wonder Lewis Hamilton has taken himself off into tax exile. But how are the rest of us meant to cope?