How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

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memory man
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How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by memory man » Wed Oct 17, 2018 4:25 pm

The Government decides how much it will raise the state pension based on prices, earnings, or a set figure - and the numbers are finally in.

In 2019 the state pension will rise to £168.60 a week - that's an increase of 2.6%, or £4.25.
That means the 13 million recipients of the state pension will see their incomes rise by the same amount as last year.

The rise will also be bigger than the rise in consumer prices - which came in at 2.4% according to the latest figures.
“Whilst the rates of working age benefits have been squeezed for many years, pensioners look set to enjoy another above-inflation increase," said Steve Webb, director of policy at Royal London and former pensions minister.

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trevnhil
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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by trevnhil » Wed Oct 17, 2018 5:00 pm

Most Pensioners are on the much lower old basic state pension,which will see a rise of £3.25 to £129.20 week.
Trev..

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by JimX » Thu Nov 15, 2018 6:59 am

That will buy us all by then a cup of Joe...or maybe not.
Jim.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Varky » Thu Nov 15, 2018 10:28 am

JimX wrote:
Thu Nov 15, 2018 6:59 am
That will buy us all by then a cup of Joe...or maybe not.
Exactly! Percentagewise it sounds a lot, but 2.4% of sod all is still sod all.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by June » Thu Nov 15, 2018 9:51 pm

Varky wrote:
Thu Nov 15, 2018 10:28 am
JimX wrote:
Thu Nov 15, 2018 6:59 am
That will buy us all by then a cup of Joe...or maybe not.
Exactly! Percentagewise it sounds a lot, but 2.4% of sod all is still sod all.
I have to admit I get a tad annoyed when I read comments like these. If I were you I would just be grateful you still get these increases. Yes, you paid your NI Conts whilst you worked (but so does everyone) and so you now have your pension and some may still be paying tax to the UK Government and why not? Everyone does who has a taxable income. However, what pensioners living in Cyprus don't do is continue to contribute to the economy of the UK in the way of indirect taxes like VAT, fuel duty, Council tax etc.
Don't get me wrong I don't want the increases stopped but please stop moaning.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Varky » Thu Nov 15, 2018 10:50 pm

June wrote:
Thu Nov 15, 2018 9:51 pm
Varky wrote:
Thu Nov 15, 2018 10:28 am
JimX wrote:
Thu Nov 15, 2018 6:59 am
That will buy us all by then a cup of Joe...or maybe not.
Exactly! Percentagewise it sounds a lot, but 2.4% of sod all is still sod all.
I have to admit I get a tad annoyed when I read comments like these. If I were you I would just be grateful you still get these increases. Yes, you paid your NI Conts whilst you worked (but so does everyone) and so you now have your pension and some may still be paying tax to the UK Government and why not? Everyone does who has a taxable income. However, what pensioners living in Cyprus don't do is continue to contribute to the economy of the UK in the way of indirect taxes like VAT, fuel duty, Council tax etc.
Don't get me wrong I don't want the increases stopped but please stop moaning.
So, because we don't contribute indirectly to the UK economy we should stop moaning. Unbelievable!! And on top of that we should be grateful that we are getting some of OUR money back. Perhaps you should look at the level of pensions in other European countries and if pensions in UK were at the same level maybe we should not be moaning at all. If during our working lives we had been able to invest the proportion of our NI contributions allocated towards the pension fund, I think you would find that we would all be a lot better off. The so-called pension fund is nothing more than a giant Ponsi scheme.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Varky » Thu Nov 15, 2018 10:52 pm

Hudswell wrote:
Thu Nov 15, 2018 11:54 am
Get a job 😉
There speaks a man who I would guess is on the receiving end of a non-contributory pension

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by June » Thu Nov 15, 2018 11:24 pm

Varky.of course it's a Ponsi scheme and thank your lucky stars you're as old as you are cos it's only going to get worse. Hence why the government is trying to make sure everyone has their own pension plan from now on.... We'll see how that works.... As for other countries...well it is what it is and that's what we've got. What do you mean by YOUR money? We all paid into the system but some are still paying...if you're in Cyprus then you're not paying as much as people in the UK was my point.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Varky » Fri Nov 16, 2018 9:18 am

Hudswell wrote:
Thu Nov 15, 2018 11:44 pm
Varky wrote:
Thu Nov 15, 2018 10:52 pm
Hudswell wrote:
Thu Nov 15, 2018 11:54 am
Get a job 😉
There speaks a man who I would guess is on the receiving end of a non-contributory pension
Not strictly speaking, the value of the AFPS is taken into account when setting pay rates, effectively reducing the salary by the amount that would be taken for a pension contribution, which is about 6% I believe.
Yeah, Yeah, Yeah, the moon's a balloon! I don't suppose you even had to wait until you were 65+ to draw down that pension.

Don't get me wrong, good luck to you, but your circumstances disqualify you from making sarcastic comments aimed at those that do not receive any pension until achieving the age of 65. But I don't expect you will stop. You will always want the last word.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Varky » Fri Nov 16, 2018 10:26 am

Hudswell,
Have you ever considered that less is more. Or are you one of those that has an opinion on everything (Nothing wrong with that on its own) but is under the impression that everyone wants to listen to that opinion never mind how trivial the subject is.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by galexinda » Fri Nov 16, 2018 6:24 pm

What about all the ladies who have had their retirement messed up by the way the pension age was increased from 60 to 66? The UK government has made a huge saving at the expense of many women.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Jimgym » Fri Nov 16, 2018 6:27 pm

galexinda wrote:
Fri Nov 16, 2018 6:24 pm
What about all the ladies who have had their retirement messed up by the way the pension age was increased from 60 to 66? The UK government has made a huge saving at the expense of many women.
Shouldn't retirement ages be the same for men and women? Why is it different can anyone explain to me?

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by tonee » Fri Nov 16, 2018 7:33 pm

Hi what worries me is,what's to stop government giving inflation rises to state pensions to expats after brexit( Australia,Canada,NewZealand)etc.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Uncle D » Sat Nov 17, 2018 8:18 am

galexinda wrote:
Fri Nov 16, 2018 6:24 pm
What about all the ladies who have had their retirement messed up by the way the pension age was increased from 60 to 66? The UK government has made a huge saving at the expense of many women.
Exactly at today's 130 per week my wife stands to lose 40,500 over the extra 6 years she has to wait, I also lose 6,750 for the extra year and that's is if the government don't decide to move the goalposts again.
I am glad that I am not paying any taxes or N.I. in that country anymore.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by MacManiac » Sat Nov 17, 2018 9:47 am

Your pension, the time you are able to claim it, and the amount you receive seems to be in the hands of the gods. My wife had to wait fourteen months after her sixtieth birthday to receive her state pension (and she was amazed how much SERPS added to the final figure). I retired at fifty-five and my teacher’s pension was index-linked. My army pension is “beer money” as my short-service commission was for five years. I received that, as promised, on my sixtieth birthday. My state pension I received on my sixty-fifth birthday, and that was more than I anticipated. So, for us, we had no complaints. But, my goodness, if we were older or younger, it would have been so different.

Our daughter is 39, and I doubt whether the state pension will even exist (and certainly not in its current form). She can’t afford to pay into a private scheme as she is an artist and lurches from one financial crisis to another - despite help from the bank of Mum and Dad. I talk to her about the future and she rolls her eyes. There is a large alternative community on the Sussex coast and they are all in the same position. Goodness knows what will happen to them all when they “retire” in the future.

The pension increase from April 2019 will be welcome. Of course we would all like to have more, but that’s human nature. For those who have lost thousands and thousands because of changes to the system, I feel the utmost sympathy. I would be absolutely livid. Interestingly enough I heard from a young teacher at the school I used to run recently. She is being asked to pay far more into her pension, will have to work much longer and will receive less when she retires. All teachers have no choice but to join the teachers’ pension scheme. And the government changes the rules midstream ...

We feel that our pension situation will be seen as a golden age by those younger than us. And will they be able to retire to the sunshine of Cyprus by right?

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Varky » Sat Nov 17, 2018 10:21 am

The problem is that the state pension is a glorified Ponsi scheme, i.e you pay 'dividends' out of future income, instead of investing each individual's contributions. Ponsi schemes are now illegal as far as I am aware.

So when that income depletes or the 'dividends' to be paid increases due to an increasing aged population there is a problem. So all that can be done is to increase the age at which the 'dividends' are handed out to match the expected period of time that previously existed when life expectancy was shorter.

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by trevnhil » Sat Nov 17, 2018 11:06 am

And of course we all know people who paid into the Government Pension scheme all of their lives, but died before reaching Pension age, and so got nothing :-)
Trev..

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Uncle D » Sat Nov 17, 2018 12:00 pm

Hudswell wrote:
Sat Nov 17, 2018 10:09 am
Uncle D wrote:
Sat Nov 17, 2018 8:18 am
galexinda wrote:
Fri Nov 16, 2018 6:24 pm
What about all the ladies who have had their retirement messed up by the way the pension age was increased from 60 to 66? The UK government has made a huge saving at the expense of many women.
Exactly at today's 130 per week my wife stands to lose 40,500 over the extra 6 years she has to wait, I also lose 6,750 for the extra year and that's is if the government don't decide to move the goalposts again.
I am glad that I am not paying any taxes or N.I. in that country anymore.
And what do you suggest the Government do ? The population is aging and lasting longer! and the currant State pension was rapidly becoming unaffordable, it simply had to change. There will always be winners and losers, the winners are our kids and grandkids who might actually get some form of State pension, and yes it hit the losers hard, a small minority especially. But in the main the new regulations will allow people to plan based on different retirement ages, setting expectations. In our Cypriot planning we "expected" to be able to join the "Health" service when my wife hit 60, she will now be 67 when that happens, I actually Reach state retirement age before her now...by four years..an extra 4 years of expensive health insurance, in addition of course to the "losses" from our state pension. But sorry I would rather that than see future generations go without, or suffer more because their taxes are increased to pay for me, for you.
Just trying to put things into perspective about the meagre increase in state pension at the moment.
One of the excuses the government at the time gave was that women want equality so they did it by taking their pension away for 5 years, then 6. Still no equality in pay though with an average of 8.7% difference between men and women doing the same job.
Glad to see that you are worried about future generations though, we will see how they fair over the next decade or so

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Re: How much the state pension is going up next year revealed - as retired Brits get another inflation-busting rise

Post by Uncle D » Sat Nov 17, 2018 12:56 pm

Hudswell wrote:
Sat Nov 17, 2018 12:07 pm
It may be "meagre" Uncle D, but it is in proportion to the economy and what the country can afford.
However, the country can afford the spiralling costs of Trident and HS2, but I appreciate your point

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