PM’s Brexit pensions warning
Exclusive: Cameron tells elderly their ‘special protection’ from cuts is at risk if they vote Leave ‹Bus passes, TV licences and retirement income could no longer be funded by Government
MILLIONS of retired people will face cuts to their pensions and the loss of their free bus passes if Britain leaves the European Union, David Cameron warns today. In a hard-hitting article for The Sunday Telegraph, the Prime Minister says a vote for a Brexit would blow a £40 billion black hole in the public finances that would have to be filled.
The Government would be forced to impose more years of “painful” austerity on Britain, potentially ending the special protection from cuts that pen- sioners have enjoyed, he says.
Mr Cameron warns that his key elec- tion pledge of a “triple lock” – guaranteeing the state pension will rise every year – would no longer be affordable, while free bus passes and television licences would also be under threat.
In his article, the Prime Minister writes: “We have made a special effort to protect pensioners. We said pensioners should expect dignity and security in retirement.
“But if we had a big black hole, we could struggle to justify this special protection any longer. In fact, even if we could justify it morally, it wouldn’t actually be affordable.” Mr Cameron accuses leading Leave campaigners such as Boris Johnson and Michael Gove of wanting to “roll the dice with our future – with your future”.
In a direct message to elderly voters considering supporting a Brexit, he says: “Here is the reality: if we leave, the pensioner benefits would be under threat and the triple lock could no longer be guaranteed in the long term.” Under the pledge, the basic state pension rises by whichever is the higher – inflation, average earnings, or 2.5 per cent.
Iain Duncan Smith, the former Work and Pensions Secretary, who backs Leave, last night accused Mr Cameron of making “a baseless threat” designed to scare elderly people.
“What we now have is a vindictive and desperate attempt to bully and frighten pensioners – all in a frantic bid to rescue a failing campaign,” he said.
“The truth is that these are policy choices, and the Conservative manifesto said that protecting pensioners was a priority. It is now apparent that there is nothing they will not use or jettison in their efforts to keep us in the European Union.”
Mr Cameron’s warning represents the latest attempt by the Remain campaign to convince the over-65s – who are more likely to say they support a Brexit – to change their minds. Older voters are also more likely to turn out on polling day, making their choice potentially critical.
The Prime Minister’s intervention comes as the referendum campaign enters its final 10 days. Recent polls suggest Vote Leave is gaining ground, with one survey yesterday giving the Brexit campaign a 10-point lead over Remain.
The Prime Minister’s allies have made a series of highly personal attacks on Mr Johnson and Mr Gove in the past week in an attempt to fight back. Amber Rudd, the Energy Secretary, claimed on live television last week that Mr Johnson was not the man you would want “driving you home” after a party and accused him of backing a Brexit to further his ambitions to become prime minister.
But John Whittingdale, the Culture Secretary, today warns that Mr Cameron’s team is doing “profound damage” to the Conservative Party by targeting two potential future leaders.
In an interview with this newspaper, Mr Whittingdale, who is backing Leave, calls on Mr Cameron to step in to stop the “personal attacks”.
He says: “I don’t know who scripted Amber’s words. Whoever was responsible, it was not constructive to the debate – but more than that, it is profoundly damaging for the long-term unity of the Conservative Party.”
He suggests that Mr Cameron will have to begin planning when to resign as Prime Minister once the referendum is over, even if he wins. The successor will need “a reasonable amount of time” to “make their mark” before the next election in 2020, he says.
Against the backdrop of the escalating Tory civil war, the two sides of the referendum campaign will use the coming days to reinforce their core messages to voters.
Vote Leave’s strength is seen as the public’s concern over immigration, while the Remain campaign believes warnings on the economy will sway voters. Government sources suggested Mr Cameron was ready to offer voters a firmer promise that Turkey will not be allowed to join the EU, to address fears of a huge rise in immigrants.
In his article, Mr Cameron seeks to move the economic argument on to family finances. Economists have predicted a black hole of between £20 billion a year and £40 billion in the public finances in the event of a vote to leave, he says.
“There’s just no way we could find that sort of money through cuts to public services like policing or local government,” he warns. “So leaving Europe would mean some invidious choices … One area we’d be forced to look at is pensions.” He adds: “We can avoid this pain by voting to remain.”