A welcome windfall??

[hughnique]

If it actually survives and yet another U turn is not executed, then, and I am very surprised, it has been implicated, a 10% rise in the state pension next year. I was fully expecting the normal inflation linked increase to be scuppered and indeed annual rises to foreign abodes cancelled, as is the case in other countries, such as Australia. Let's hope it stays on line, all we need now is for the WFA to be reinstated.

[Hotrodder]

There has already been criticism about pensioners getting the reinstatement of triple lock by people who assume pensioners have pots of money coming in from investment dividends and multiple private pensions.
As regards getting our WFA back.........insert flying pig here.

[Spectrum]

Nice to have an increase, but do we get the pensioners extra £300 for being a two pension household??. The problem with all Uk pensions and benefits is something called Exportability, not all of these can be paid when you move abroad.

[hughnique]

Nice to have an increase, but do we get the pensioners extra £300 for being a two pension household??. The problem with all Uk pensions and benefits is something called Exportability, not all of these can be paid when you move abroad.

I doubt that will be forthcoming, after all it is so cheap to live here

[hughnique]

I remember when the FIL moved here as he was of bad health, he had carers allowance, which was exportable, but they tried to stop paying it, until we argued with them.

[niemeyjt]

It is such a mess that if all continues as it is (triple lock, frozen allowances) they are predicting a pensioner will pay income tax on it by 2030.

[exile]

But is that such a bad thing? If pensioners earn enough to warrant being within the taxable band, that surely means that they are better off than they are now - or at least no worse off.

There is IMHO too much emphasis on the numbers - How much (number) you earn; When (number) you pay tax; percentage (number) inflation - etc. - and not enough on increasing the quality of life. The problem is that you cannot measure (numbers again) quality of life.

[niemeyjt]

If the basic state pension is reduced by pushing someone into a tax band when they have no other income then it will be seen as a backdoor cut to the pension.

I keep wondering what I will do next if, for one reason or another, this gig ends earlier than planned. With all the anti-freelance legislation now in force I suspect I shall retire and not try to resurrect my consultancy. It isn't worth the hassles - quality of life as you say.

[exile]

But if a pensioner suddenly becomes liable for tax, under the current conditions, it can only mean that their income - ie their pension has gone up.* Now if the increases between now and 2030 are only driven by inflation (and they may well be), then I accept that the buying power of that pension falls if the pension starts to be taxable. But if wage rises or even the 2.5% fall back were to take effect between now and then, the pensioner would still be better off. Not much maybe.

* It is the same argument I have had with colleagues who complained about having fallen into a higher tax bracket. They got there because they are earning more than they did.

I sympathise with your position. When I took a permanent contract in Germany, it resulted in reduced salary but the quality of life was much better and the loss of €uros was well compensated for.

[Polly]

My wish would be that extras such as the enlarged winter fuel payment this year was paid to those who need it, rather than an across the board payment. We received £500, which those who are doing OK don’t actually need, whereas for many others it could mean less fear of heating costs etc.