MalcSB
Well-Known Member
What will Rachel Reeves’s retirement scheme changes mean for pensions?
The chancellor has announced plans to merge local government retirement schemes into eight Canada-style ‘megafunds’
Do you trust Rachel Reeves plans in relation to local government pensions? (3 Viewers)
- Thread starter MalcSB
- Start date
fernandopartridge
Well-Known Member
Why does a sovereign currency issuer need to use pension funds to pay for infrastructure?
fernandopartridge
Well-Known Member
Nick
Administrator
Probably tax payers.
Sky Blue M
New Member
This is being made out to be a problem when it really isn't. Peoples individual pensions are not going to be affected.
MalcSB
Well-Known Member
So if a refuse collector’s pension pot is put in to a Reeves ( the well known fabricator of cvs) inspired investment portfolio and it loses money, how will their pensions be guaranteed?
fernandopartridge
Well-Known Member
Presumably it's underwritten by the government in which case I refer back to Do you trust Rachel Reeves plans in relation to local government pensions?
Sky Blue M
New Member
There is no refuse collectors pot in the first place. Individuals do not have "pots" in the LGPS. All this is talking about is going from having 86 funds across the country to 6 - which already started years ago and is now just being accelerated. IE in Coventry, the city council are part of the West Midlands Pension Fund. West Midlands Pension Fund are part of the LGPS central pool but need to ensure that all their total fund is transferred over to LGPS Central as opposed to the gradual transfer that has been in place since 2018
StrettoBoy
Well-Known Member
Is this really any different to Hunt's using 5%currently for British companies or start ups?
IDK but it feels the same kind of raid!
To be followed by further uses or increases, seems to suggest they don't get offered enough from international bodies or to get extra through these means?
So Blair type Hospital's but return's for these pension pots, think Hunt may have agreed with her on this?
IDK but it feels the same kind of raid!
To be followed by further uses or increases, seems to suggest they don't get offered enough from international bodies or to get extra through these means?
So Blair type Hospital's but return's for these pension pots, think Hunt may have agreed with her on this?
MalcSB
Well-Known Member
I just didn’t trust Chancellors who piss about with personal pensions. Brown devastated the private defined pension with a tax raid. What’s this money going to be invested in and who is going to underwrite it if it goes pear shaped?
Como
Well-Known Member
Chicago has more public pension debt than 43 states
Chicago’s pension systems for city workers have $51 billion in debt, so much that they are in worse shape than 43 states. Fixing them requires Chicago’s mayor to push for a change in the Illinois Constitution.
This is Chicago but you will see places like California are worse.
Some things I have noticed and I am sure there is much more is that Politicians are willing to concede pension increases as they will not be around when the time comes to pay.
They assume high rates of return, I have seen 8% mentioned which is of course impossible so the problems cascade.
Very difficult to persuade people to vote for increased taxes to fill the gap.
A ticking time bomb.
Am I missing something? The way I understood it was the 86 local government funds are going to be pooled into 8 mega funds, which ultimately just have more spending power. That aside they're going to work the same way, the money in the funds will be invested. How is the risk any greater or smaller than it is at the moment?
By the sounds of it the funds will also save money in investor fees, and be managed by more accomplished fund managers. Not really seeing the downside.
There was also this line in the article: -
"There could also be pushback from the reams of lawyers, asset managers, banks and actuaries who could lose out on hundreds of millions of pounds in annual fees and contracts if funds are consolidated."
Is that a bad thing?
MalcSB
Well-Known Member
I think it is the inference that such funds will be directed to government pet projects.
This wont be a case in point, but imagine if the investment had been in to that bottomless pit called HS2?
Totally agree, the fund should be managed by an independent fund manager who is able to allocate money for the best interest of the fund investors (pension holders).
fernandopartridge
Well-Known Member
I think the downside to these arrangements are pension funds being ultimately behind e.g. the inflated property market
RegTheDonk
Well-Known Member
Recall when Osborne/Cameron came in and made changes. A deal's a deal and they couldn't rip up the formula to that point, but they got rid of the final salary clause from that date. Wonder if Reeves will ultimatley look to make changes and savings somehow.
I guess it'll all be revamped in 5 years time anyway.
eastwoodsdustman
Well-Known Member
I wonder how much will go to millibands folly.
Its Guaranteed money loser if it does.
Its Guaranteed money loser if it does.
MalcSB
Well-Known Member
That’s what would worry me if my pension scheme was involved,
Mucca Mad Boys
Well-Known Member
I wouldn’t trust Reeves to run a piss up in a brewery. It’d be a repeat of the yacht at Charlton away, promising the world, only to get shafted.
The Reverend Skyblue
Well-Known Member
It must be the most shambolic first 3 months in British history
They’ve f****d up every they said they will fix, they lied to get into power
No doubt Sir Starmer loves his new suits and Angela Raynor adores the attention she’s getting from her new outfits the taxpayer has bought her.
The Labour Party is finished , and after this term, even the raving looney party will get more votes.
Before Shmee and Pete attack me, I didn’t vote blue or the other moronic parties, I went for a local independent, who actually was in tune with his local voters
This country is absolutely desperate for a whole shake up of the political system, realistically it’s either labour or Conservative, we deserve more choice than those two basket cases
They’ve f****d up every they said they will fix, they lied to get into power
No doubt Sir Starmer loves his new suits and Angela Raynor adores the attention she’s getting from her new outfits the taxpayer has bought her.
The Labour Party is finished , and after this term, even the raving looney party will get more votes.
Before Shmee and Pete attack me, I didn’t vote blue or the other moronic parties, I went for a local independent, who actually was in tune with his local voters
This country is absolutely desperate for a whole shake up of the political system, realistically it’s either labour or Conservative, we deserve more choice than those two basket cases
Sky_Blue_Dreamer
Well-Known Member
It really has been a shitshow but I don't think you can say 3 months in it's shambolic cos they haven't fixed everything yet. If they had it would've been the mot amazing political masterstroke the world has ever seen.
FWIW I don't think they will fix (m)any of the problems during their term and they will lose the next election quite badly if they don't change tack (though I will ignore the hyperbole of them being finished)
MalcSB
Well-Known Member
It’s not that they haven’t fixed everything, they haven’t fixed anything other than stuffing the train drivers mouths with gold.
Pretty much everything else they have fucked up. God knows what the size of the black hole will be in 5 years time. Labour will be responsible for the further shit show that will inevitably follow whether in government or not.
It seems as if all the economic indicators have done a sharp about turn and are headed in the wrong direction and business lacks confidence. Government of growth? My arse! What a remarkable achievement in just 3 months
It might actually be quite good fun, in a masochistic kind of way, to make sure they do win the next election but with a small but just workable majority. Their wriggling on the hook as they try to resolve all the consequences of their first term, as the country shivers through really bad winters exacerbated by electricity blackouts and ineffective enforced heat pumps, should see them off for the foreseeable.
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eastwoodsdustman
Well-Known Member
Rachel from complaints is more like it.
MalcSB
Well-Known Member
It is true. Claimed to have been an economist with Bank of Scotland when really she had been a customer service team member with HSBC. Surely a sacking offence.
Published a book with much of the contents plagiarised as well.
Not sure anybody can believe a word she says.
Sky_Blue_Dreamer
Well-Known Member
I think it's a bit much to have anything fixed in 3 months as well. All the problems are huge and even any changes they have made would take time to filter through.It’s not that they haven’t fixed everything, they haven’t fixed anything other than stuffing the train drivers mouths with gold.
Pretty much everything else they have fucked up. God knows what the size of the black hole will be in 5 years time. Labour will be responsible for the further shit show that will inevitably follow whether in government or not.
It seems as if all the economic indicators have done a sharp about turn and are headed in the wrong direction and business lacks confidence. Government of growth? My arse! What a remarkable achievement in just 3 months
It might actually be quite good fun, in a masochistic kind of way, to make sure they do win the next election but with a small but just workable majority. Their wriggling on the hook as they try to resolve all the consequences of their first term, as the country shivers through really bad winters exacerbated by electricity blackouts and ineffective enforced heat pumps, should see them off for the foreseeable.
But even though nothing is fixable in that timescale you'd hope to see some sort of movement in the right direction. At the moment I don't and that's a big concern.
MalcSB
Well-Known Member
Everything seems to be moving in exactly the wrong direction, implying that the much anticipated Labour competence was, in fact, a myth.
They had 14 years to have a jolly good think about what they would do.
MalcSB
Well-Known Member
That’s (a) sacrilege and (b) bordering on sexual assault!