Workers will die before they can claim a pension
GROWING numbers of workers in poor areas will die before they get the state pension, MPS warn.
The triple-lock system will raise the retirement age to 70.5 years by 2060, a report released today says. Hardest hit will be men, especially those in manual jobs, in disadvantaged regions. Workers in 162 areas in Scotland and 26 in England, including Blackpool, Manchester, Teesside and Leicester, where male life expectancy is below 70.5 years, could die before they retire. The Commons Work and Pension Committee report called for the triple lock to be scrapped. The system ensures pensions rise each year either in line with average earnings or inflation, or by 2.5% – whichever is higher. Critics say it is becoming unaffordable. At the moment, men can claim the state pension at 65. Women’s retirement age is currently increasing and will reach 65 by 2018. By 2020, men and women will have to wait till 66 to retire. By 2028, it will rise to 67. And it will have to go up 70.5 by 2060 if current spending of 6% of gross domestic product is maintained, the committee has warned. Its chairman, Frank Field, said: “With the triple lock, the only way expenditure can be made sustainable is to keep raising the state pension age. This has the effect of excluding ever more people from the state pension altogether. Such people will disproportionately be from more deprived areas and manual occupations, while those benefiting most will be the relatively prosperous. “By 2020, the state pension will provide a decent minimum income for people in retirement to underpin savings… Triple lock will have done its job and it will be time to retire it.” Chancellor Philip Hammond has indicated the Government will not review the triple lock till after 2020.
HIT HARD Labourers will suffer most