7m to lose £10k in pensions overhaul
Labour: Tories are making workers pay price of their failed austerity regime
MORE than seven million people in their 30s and 40s will lose almost £10,000 each because of Tory plans to raise their state pension age.
People born between 1970 and 1978 will have to wait until they are 68, an extra year, before receiving payments.
Now analysis by the House of Commons Library has revealed the move will save £74billion – an average £9800 for each of the 7.6million people hit by the change.
Shadow Work and Pensions Secretary Debbie Abrahams said: “This is a disgraceful and unjustified attack on the state pension by this Government.
“They are asking millions of people to work longer to pay for their failing austerity plans.”
The Tories are raising the pension age despite research that shows the rise in life expectancy has stalled – a fact blamed by critics on their health and welfare cuts.
And Abrahams said: “The latest research on life expectancy shows there is no evidential basis for bringing the state pension age further forward.
“That’s why Labour want to take a measured approach, leaving the pension age at 66 while we review evidence emerging around life expectancy and healthy life expectancy.
“We want to consider how we can best protect those doing demanding jobs and the contributions they have already made.”
Under current plans, the state pension age for men and women will be equalised at 65 at the end of 2018, before rising to 66 in 2020 and 67 in 2028.
The new change affects anyone born between April 6, 1970 and April 5, 1978.
The Government said it would save taxpayers the equivalent of £400 a year per household.