Pensions plea

To lose one's hearing in old age is bad enough but to lose one's income through no fault of one's own is unfortunate. Many pensioners who lived frugally, putting aside what savings they could to provide that little bit extra in old age now find themselves sadly disappointed.

While bankers continue to reward themselves at taxpayers' expense with billions of pounds following their incompetence, savers have suffered a loss of £43 billion compared with their income before and after the Bank cut rates to 0.5%. In addition the value of investments is being eroded as markets fall.

Inflation is adding to their misery made worse by the Government's unilateral action tochange the measure of calculating pension increases from the Retail Price Index to the Consumer Price Index resulting in lower increases.

Last night I listen to complaints about the 50p tax rate payable by the top 1% of earners who receive over ?150,000 a year (ie, ten times that of the average pensioner based on ?29,000 for a couple). One man said he had had to work hard to achieve that. There are many who have worked very hard for much less. If they were to receive a bit extra they would be more likely to spend it.

An e-petition has been organised to protest against the unjust change in the method of calculating pension increases. Please sign it and ask others to do so. Thanks.

Update

E-mail received today (29/02/2012):

"The e-petition 'Public & Private Pension Increases - change from RPI to CPI' recently reached 109,392 signatures and a response has been made to it.

This e-petition has reached 100,000 signatures. The Government has notified the Backbench Business Committee in the House of Commons who will consider its suitability for debate when Parliament returns in September. This e-petition will remain live, and people will be able to continue adding their signatures. The Backbench Business Committe have announced that a debate relating to this e-petition will take place on Thursday 1 March 2012 in the Chamber of the House of Commons. Further information about the debate, and on the workings of the Backbench Business Committee, can be found on the Committee's website at http://www.parliament.uk/bbcom The Government will post a further response to this petition following the debate.

View the response to the e-petition."

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Windbag or saviour?

Mr Cameron's Big Society is under the spotlight again (Photo: Getty)

Back in the news is the Big Society. As a former communications man one would have thought that the Prime Minister would be able to put over his big idea with the utmost clarity but people still struggle with it. Could it be that it is all wind and no substance? I thought Cameron'sinterview with the BBC's political editor revealing in the sense that Nick Robinson asked tougher questions than usual suggesting that even he, a former President of the Oxford University Conservative Association, had doubts. The government were simplywashing their hands of responsibility by letting local councils take the flack after starving them of the funds needed to make the project work.

People at the local level are being played off against each other as the Prime Minister claims that in a "grown up society" people have to make tough decisions but empowerment is not that simple. Ministers keep reminding us that it is going to be a tough year. The elderly have been hit particularly hard by inflation, shrinking pensions and erosion of savings but how much worse for the young unemployed with little or no prospect of work, fuelling fears of a lost generation. The current inflation rate of 4% is double that of the Bank of England's target rate of 2% making life even more difficult for many while the few carry on regardless. Barclay's today announced profits of £6.1 billion increasing pay packages by 20% despite reduced bonuses.

In his interview with Nick Robinson, the prime Minister let slip that it was not the previous government who dropped us in the mess but bankers. With an army of unemployed left roaming boarded-up streets in the Big (divided) Society there could there bebig trouble ahead.  Oak trees from acorns grow.

Postscript

Thanks to Charon QC (see Blog list) I've just picked up this video of Francis Maude, the Minister responsible for pushing the Big Society, explaining his contribution. Brilliant! One comment suggested the the clip had been doctored so you can see a fuller version here. Well at least he goes to church.

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