UK PENSIONS: Finding cheats too late, being cheated by the State, being made to wait

donkeys

British citizens are being treated like they are donkeys. But at least donkeys get a sanctuary

300,000 Britons who bought a fixed income for life with their retirement savings were misled about a product known as an “enhanced” annuity, which pays out more for people who have a shorter life expectancy. They didn’t realise that they were entitled to such an annuity in the first place because they were at high risk of early death based on the healthcheck. Those who made it through the tape without keeling over appear to have been, um, not given their extra dosh, as such.

Now news is slowly leaking out that an FCA review of eight unnamed pension suppliers has raised serious concerns about provider honesty; as in, a lack of it.

Although nobody is commenting (would you?) Standard Life, Aviva, Friends Life, Prudential, Legal & General and Aegon are all tipped to be on the blacklist. The Hateful Eight make up around 70% of the UK annuity market: so the ‘just a few rogues’ bollocks used to excuse criminals from Newscorp to HSBC via the Met Police and Goldman Sachs doesn’t wash.

Those scammed by this latest example of ethical atrophy should not expect any defence from a Conservative Government: rabid deregulators like Daniel ‘let’s get fracking’ Hannan’s hold views that add up to a sort of sociopathic mélange of caveat emptor, and “well the regulators don’t catch anyone, so let’s abolish them”. Smashing: one in four murders remain unsolved, so let’s decriminalise murder.

If this strikes you as a melodramatic Leftie prediction rather than a fact, I should inform you that (a) I am not a Leftie – the furthest across the spectrum I ever went was the SDP in 1985 – and (b) the Dark Knights of Camerlot have form in this area. Less than three weeks ago The Slog posted about tens of thousands of people across the UK and abroad who were told by conmen using sophisticated tactics that they could access their British pensions tax-free thanks to a legal loophole – but the money disappeared, and the majority  lost their entire lifetime savings.

Not only did the ‘Government’ who introduced the liberation scheme do nothing to help the victims – all of whom are in the mire thanks to very poorly drafted legislation – they compounded the cock-up by issuing tax assessment letters for the sums concerned at 55% on a pot they don’t have. Jonathan Swift, eat your heart out.

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

But roughly how much of whatever meagre pension you wind up with are you ever likely to ‘enjoy’? Well, This in Money (still one of the best sites for the average saver) reports that young people will have to work and save non-stop from age 22 until they hit 77 to get a pension of the kind earlier generations enjoyed. The new analysis – compiled by
pension firm Royal London – suggests that anyone starting work now (if they took a break for any, you know, feeble reason like reproduction) could easily be into their early 80s before they had a halfway decent pension pot from which to draw down.

Regular Sloggers will know I am no supporter of feminism in its currently perverted form; but here are three obvious extrapolations from this news:

  1. It is blatantly sexist and misogynist
  2. As people live longer (thanks to the potty allocation of medical research funds to longevity research) the problem can only get worse….as the shrinking pot has to last longer AND pay for geriatric support
  3. With the 3% demanding 76,392 for them and 0.76392 for us, pension institutions will be slowly stripped of fair returns….when they’re not too busy cheating their savers to notice.

The problem with ‘the death of retirement’ – the latest ‘warning’ from the morally bereft – is that nobody wants to face up to the retirement of Death. The medical God complex, the rape of labour by capital, and the near-universal acceptance of genocidal ethics will combine to create a planet covered in people with nowhere near enough safe water to drink, and zero expectation of any quality whatsoever in their eternally delayed eternal retirement.

It’s going to be a Brave New Solent Green World. Unless the 3% with a spinning moral compass give up their greed-fest and the species as a whole accepts the tough imperatives of resource and population.

Failing that, the only way out is for lots of us to hitch a ride on Einstein’s newly-confirmed EMG Time-ripple Tours© offer.

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Meanwhile, the battle to raise awareness of The Big UK Pension Welch (in which the DWP and the Treasury have joined forces to defraud 1950s female babies) continues. The well-attended Commons debate (graced by a wonderful speech from SNP MP Mhairi Black) having been held on 7 January, the Government’s Dickensian response remains that of Mr Gradgrind…with some pathetic self-pity from Ros Altmann thrown in for good measure.

The retirement-destroying changes to the female state pension age were communicated first of all with devious incompetence, and then compounded by mendacious claims that universal knowledge had preceded the changes. Those demonstrably nonsensical claims made by civil servants and MPs enjoying taxpayer-funded gold-plated pensions have turned deservedly into a PR nightmare. Equally  demonstrable, however is the fact that at least 75,000 women born after April 1951 are now in very dire financial straits indeed. (Where, we ask ourselves, is the Unite-Union generously pensioned former Minister for Wimmin Hattie Harmperson in all this? Why, in retirement…where else would such a privileged Labour bourgeois be?)

Today, however, there is a well-reasoned and gracefully written article at Moneymarketing by Steve Bee. Some will find his conclusions a tad apologetic, but for myself I read the piece and gained the impression of a good and decent man doing his best to make the Camerlot Knights somewhat bumsore in their saddles. He writes (my emphases):

‘It seems to me the Government is keen to talk proudly of the pension freedoms it has introduced but fails to see the irony in those freedoms only applying to private pensions. The millions relying on the state pension are still in chains. But why?

The Government cannot afford to give money away but it does not have to. There must be sensible and creative ways it could amend the social contract between it and its citizens by extending new freedoms to the state pension system…..One avenue that should be explored is to allow all people to draw their state pension from age 60, not at the full rate but at an actuarially reduced rate.’

The main thing I like about this idea is that it fires a 90mph ace tennis ball to put the DWP/Treasury pinched goblins one game down, and with no leg to stand on.

Earlier at The Slog: Why taking part in this stock market rally is folly

19 thoughts on “UK PENSIONS: Finding cheats too late, being cheated by the State, being made to wait

  1. Academic for anybody starting work soon, it is said by 2030 nearly all jobs will be done by robots, and I suspect Camerlot is well aware of that but, I seriously doubt that there will be as many of us by then, I would imagine there will be major global conflict before then.

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  2. Why work for 45 years…?

    State pension[s] that forced workers to pay premiums for 45 years are taxable upon retirement.
    Those on welfare etc receive their non-taxable pension that a/m workers aren’t entitled to…

    Spread between the two are approx $400.00 per month; therefore the worker in retirement
    can bask-in-luxury.

    When considering 40% of ones 45 years of employment income was tax taken by the gov’t
    I feel we were fleeced yearly. Only ones who benefited were the politicians and gov’t employees
    with their golden pensions.

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  3. Wrt women being penalised by taking time out to have babies, this problem was recognised as long ago as 1978, when a new law allowed women taking a break from “work” to have those ‘gap’ years count towards their contribution records. But as with so much govt. legislation, many women weren’t (and some still are not) aware of it. Equally, those who become unemployed and unable to find work for long periods can keep their contribution records up to date, provided they sign on every week at their local unemployment office. The DWP also allows for voluntary contributions to buy back ‘lost’ years’, though that’s clearly untempting if not impossible for those at the lower end of the pay scale. As time passes, some have felt that by the time they reach that far-off hazy retirement date, pensions will no longer be available anyway and assume the state will provide a safety net. Which it does, for those with nothing.

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  4. Not just the big private pension providers working a scam. Under the new state pension rules I was promised a flat rate £150 per week. How did I know even then, somehow, I would get screwed by the government? Sure enough, on requesting a pension projection, I am informed that my £150 per week is actually £130 per week. Yet another example of falling prices?
    If pensions survive long enough, I am sure the state pension will end up being a top up to the workplace pension, guaranteeing everyone £150 per week……….or less.

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  5. My dad who was in Burma fighting the Japanese, when the war ended he was ask to stay on another year, then found out the jap prisoner were going to be used as the police force to put down the inserection of the Burmese people that were promised independence after the war. That turned out to be bollocks He Declined and returned to blighty on a Blenheim bomber to Norfolk, were he was giver a demob suit, and a 5 pound rail warant, and that was it after 5 years fighting for the UK.
    He started a building company as there was a lot to rebuild. Some time later the burocrates turned up to check his books, they found that two of the out of four he employed, had 4 national insurance stamp missing, he explained that as soon as the money came in from the work that was done, they would paid. Bollock they said you will have to go to court, were he was found guilty and fined,The result was he and 4 employes were unemployed. Years later when I was 8 years old , he sat me down and said I something to tell you, ther are 4 thing in life that you do not do, never volunteer for f..k all, don’t trust the government, preachers,and scout masters, and he was right an all accounts. And I Miss him a lot. What he would make of the world today I don’t know.

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  6. GrandPa – “Those on welfare etc receive their non-taxable pension that a/m workers aren’t entitled to…”

    WRONG

    Pensions are taxed at the basic rate so if you receive benefits, which are also taxed above the personal allowance, you are taxed and there’s no getting away from it – can’t afford city lawyers at this level of subsistence – all benefits are taxable (except DLA which is changing to PIP which will probably be taxable – can’t let the poor get above themselves) these days old chap and contribute to the total income. By the way we have a system of social security NOT welfare. it is the government’s job to keep people poor unless it’s a friend.

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  7. Nobby: Your Dad was only anticipating what Ronald Reagan said were the three greatest lies in the world: 1. The cheques is in the mail; 2. Of course I’ll respect you in the morningn, and the greatest lie of all: I’m from the Government and I’m here to help you!

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  8. Quite right. Women should be motivated never to have children in future. There are too many people and too many robots already on the planet and we boomers must be left to enjoy our golden years hoping we expire before the whole shebang ( as you British say) blows. So if ladies wish to actually retire at 77 as opposed to 93 they will be motivated to remain childless. Look at it as the rest of the world s version of China /India s one child policy… only in tnis case ….. going one better.

    Be like me . Childless. But the most important woman in the world !!!!!

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  9. Impotency – isn’t that what Cameron’s currently feeling as he pedals around Brussels frantically trying to assemble something nebulous he can sell to the gullible ?

    Liked by 1 person

  10. All pensions should be tax free for people contributing who are earning under £50k or at least pay the tax on the contribution while earning and not being fleeced when receiving in retirement !!

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  11. 小年夜凌晨高雄美濃發生芮氏規模6.4強震,造成位於台南的維冠金龍大樓倒榻,114人罹難,台大土木系兼任教授、土木技師周南山今(日投書《中國時報》時論廣場指出,土壤液化在高樓等載重大的地方較不易發生,政府是否要在1個月內公布土壤液化區似乎不是重點,而重點應是就建築物全面體檢,因為全台太多有著騎樓且頭重腳輕的「軟腳建築」。
    周南山指出,液化因地震所激發的孔隙水壓力要大於土壤上方的載重才可能發生,迄今世界各國尚未聞大樓在幾秒內因液化而完全傾覆之案例。他認為,應推廣的是「防災型都更」,只是不是因液化現象,而是九二一和這次台南災區普遍所見的「軟腳大樓」。對於「軟腳大樓」,周南山表示台灣因多雨使得大樓之底層多建騎樓,騎樓較其他樓層少了一面牆,且因一樓多為商店而柱子挑高,形成頭重腳輕的軟腳現象。倘若軟腳的方向恰與地震波的方向相同,加上一些結構設計和施工的疏失,就容易發生類似維冠大樓的不幸事件。天災雖無可避免,周南山表示政府的當務之急應該是針對九二一前已蓋好的大樓全面體檢,劃定危樓並協助全面都更,防災型都更不僅可以解決釘子戶的問題,也能替都巿美學注入活水。(中時電子報)
    普查軟腳大樓 更要緊出版編輯:林柏安小年夜凌晨高雄美濃發生芮氏規模6.4強震,造成位於台南的維冠金龍大樓倒榻,114人罹難,台大土木系兼任教授、土木技師周南山今()日投書《中國時報》時論廣場指出,土壤液化在高樓等載重大的地方較不易發生,政府是否要在1個月內公布土壤液化區似乎不是重點,而重點應是就建築物全面體檢,因為全台太多有著騎樓且頭重腳輕的「軟腳建築」。周南山指出,液化因地震所激發的孔隙水壓力要大於土壤上方的載重才可能發生,迄今世界各國尚未聞大樓在幾秒內因液化而完全傾覆之案例。他認為,應推廣的是「防災型都更」,只是不是因液化現象,而是九二一和這次台南災區普遍所見的「軟腳大樓」。對於「軟腳大樓」,周南山表示台灣因多雨使得大樓之底層多建騎樓,騎樓較其他樓層少了一面牆,且因一樓多為商店而柱子挑高,形成頭重腳輕的軟腳現象。倘若軟腳的方向恰與地震波的方向相同,加上一些結構設計和施工的疏失,就容易發生類似維冠大樓的不幸事件。天災雖無可避免,周南山表示政府的當務之急應該是針對九二一前已蓋好的大樓全面體檢,劃定危樓並協助全面都更,防災型都更不僅可以解決釘子戶的問題,也能替都巿美學注入活水。(中時電子報)普查軟腳大樓 更要緊出版編輯:林柏安小年夜凌晨高雄美濃發生芮氏規模6.4強震,造成位於台南的維冠金龍大樓倒榻,114人罹難,台大土木系兼任教授、土木技師周南山今(17)日投書《中國時報》時論廣場指出,土壤液化在高樓等載重大的地方較不易發生,政府是否要在1個月內公布土壤液化區似乎不是重點,而重點應是就建築物全面體檢,因為全台太多有著騎樓且頭重腳輕的「軟腳建築」。周南山指出,液化因地震所激發的孔隙水壓力要大於土壤上方的載重才可能發生,迄今世界各國尚未聞大樓在幾秒內因液化而完全傾覆之案例。他認為,應推廣的是「防災型都更」,只是不是因液化現象,而是九二一和這次台南災區普遍所見的「軟腳大樓」。對於「軟腳大樓」,周南山表示台灣因多雨使得大樓之底層多建騎樓,騎樓較其他樓層少了一面牆,且因一樓多為商店而柱子挑高,形成頭重腳輕的軟腳現象。
    倘若軟腳的方向恰與地震波的方向相同,加上一些結構設計和施工的疏失,就容易發生類似維冠大樓的不幸事件。天災雖無可避免,周南山表示政府的當務之急應該是針對九二一前已蓋好的大樓全面體檢,劃定危樓並協助全面都更,防災型都更不僅可以解決釘子戶的問題,也能替都巿美學注入活水。(中時電子報)普查軟腳大樓 更要緊出版編輯:林柏安

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  12. World changed JW possibly more than many people realise.

    Wake up to the fact the companies = corporations are neocons and the only way those running the show will ever achieve the kind of lifestyle they are enjoying is to make you pay for something and NEVER HAVE TO PAYOUT. (Definition, paying for nothing, a bit like PPI).

    All the non-existant customer service / support side maximises profits, but of course they will say it will give you a better deal although 50 hours in telephone calls has not saved you anything unless your time is free!

    Pensions are a blackhole of nothing left because the money was stolen long ago. What the youth of today need to realise fast (this would be the change if they got off their smartphones and reality TV for a second), they are paying to cover up that blackhole of nothingness and in a (looking ominous) low growth world you are going to feel the full brunt of that nothingness.

    Governed and fleeced by wolves and the only way to deal with wolves is to become one. Make them fight in any way possible to prove their alpha wolf status.

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