Tony’s found a link, Tony’s found a link....
Just a shit one
Savers could have lost £230bn in Brown’s pensions raid
Stick to being the Trust groupie. It’s more your style
Some people just don't understand what they think they know everything about.
It seemed like a victimless tax grab. Pension funds were in surplus. So let's tax the money they make and give a tax break to the rich. Let's not even spend the money on what we need. Like housing and infrastructure.
Within a few years those pensions were in trouble. People could no longer get a final salary pension as they had become expensive to run. Money purchase? To get the same as a final salary you need a pension that goes up each year. You also need a pension that pays 50% on average to a surviving spouse. Try buying that on the open market. Last time I looked you needed 100k just to buy 3.5k a year. And that was the best. Many were much lower.
But promises were already made. Suddenly companies had to put billions extra in each year. Some companies had to put more in than they were making profit just to keep up with promises already made. Of course it couldn't happen. So they got behind. Many healthy companies crashed because of the pensions already earned and that were well funded until Brown did his tax grab. Now all pensions have to pay more. They pay into a pot that pays where companies have crashed owing massive amounts to the pensions they ran. So companies have to pay even more. And those lucky enough to still have one also have to pay more.
But hardly anyone has one now. I have had one for a long time. But it closes at the end of the year. It closed less than 3 years after the Brown tax grab to new starters. They made changes about 5 years ago but it was still too expensive to run.
So back to the tax grab. It has cost untold job losses. This has cost untold tax payable. Well paid jobs have been lost. And within 20 years people will be retiring without a decent pension. So many more will rely on the state in their later years. Instead of still paying into the system after retiring they will be taking money out. And someone will have to pay for this. It will be those who also don't have a decent pension. And so on.
Yet you will get idiots who haven't got a pension like this who think it was a good idea to tax them to make sure they couldn't get one. And they don't get the problems ahead because of it.
I am lucky. I have enough years in to retire early. It will free up a job with decent pay for someone young to take up. I will always be a tax payer even after I stop working. But the generation after me won't be able to. Ask them what they think. Many blame my generation. We have even been through it on this thread.
But of course we have the 'know it all' posters that know differently. Then they wonder why I say I am a Labour voter but I have a pop at Labour. Yet those who question me will be those who suffer and will have to work until they drop. And they will try and make excuses for Brown. Some idiots will even call it a good move by Brown.
If anyone has a question on the matter I will happily answer. If Tony has a question can someone please relay it to me.