A leaked copy of the Labour manifesto has provided several details on the party’s stance on pensions, if they were to be elected into power next month at the General Election.
Among the plans include maintaining the triple lock state pension and to stop all planned increases after the age of 66. A new State Pension Age review will be established ‘specifically tasked with developing a flexible retirement policy to reflect both the contributions made by people, the wide variations in life expectancy, and the different nature of working lives’.
Labour want to make sure that legislature is in place to ensure accrued State Pension cannot be retrospectively changed and that all UK citizens would have their pensions protected.
Also in the manifesto was the proposal to extend pension credit to compensate women born in the 1950s who have seen their State Pension age rise.
Nathan Long, senior pension analyst at Hargreaves Lansdown said: “Labour are making pensions a key battleground in the election. The State Pension figures prominently as they seek to maintain the triple lock, stop planned increases to State Pension age past 66 and provide compensation for the women who have seen the age they can receive their State Pension rise.
“Plans to stop future tinkering impacting on accrued State Pension may be appealing, but risk create huge levels of complexity and are probably best avoided.”
However, Long also believes that the party haven’t covered all areas of UK pensions: “Saving for retirement is somewhat absent, meaning we are unsure as to what the plans are for workplace pensions and whether crucially, the self-employed will be included in the auto-enrolment program that ensures people are automatically joined to a pension plan.”
Other manifesto pledges include spending an extra £8bn on social care, ruse to make ‘false promises’ on immigration, ban zero hours contracts and increase income tax for the highest earning 5% to raise an extra £6bn for the NHS
In a defiant speech in Manchester earlier this week, Labour leader Jeremy Corbyn said his manifesto would ‘transform Britain’.
He said: “We can transform Britain into a country that – instead of being run for the rich – is a one where everyone can lead richer lives.
“We’re drawing a line. Three decades of privatisation, from energy and rail to health and social care, has made some people very rich. But it has not delivered richer lives for the majority.
“In the coming days, we will be setting out our plan to transform Britain – with an upgraded economy run for the many not the few.”