SNP’s Ian Blackford: ‘We will look after our pensioners’
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The punitive tax is set to hit even more savers from April, when the threshold for paying the charge is frozen again. More than 1.6 million already pay and their numbers will steadily grow as stock markets and pension values rise but the threshold for paying this 55 percent tax charge stays the same.
Many savers and pensioners do not realise they are in danger, often because they do not even know this tax exists.
This week, pensioners were also warned they must “protect their wealth” as the state pension struggles to keep pace with inflation.
Now, Dennis Reed, from Silver Voices, has warned the Chancellor pensioners are deserting the Conservatives due to the inflation “eroding” their dignity and independence.
He told Express.co.uk: “Everything this Chancellor does shows that he sees pensioners incomes and savings as his prime targets in balancing the books.
“Not only did older people suffer the most from the pandemic but we are now being fleeced to pay for its economic consequences.
“The Silver Vote is deserting the Tories because inflation is eroding our dignity and independence and the Government is not protecting us.”
The suspension to the triple lock combined with high rates of inflation has left pensioners concerned over the value of their state pension.
Inflation has ballooned in the months since the state pension rise was locked in, back in September 2021.
It currently stands at 5.5 percent, marking the highest rate seen in 30 years.
Jai Bifulco, Chief Commercial Officer of Kinesis Money, said: “Pensions are failing to keep pace with inflation, leaving many pensioners short-changed in later life.
“In short, retirement wealth is under threat.
“The UK is already on the cusp of a crisis with approximately 2 million pensioners in poverty.
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“Research shows that the average savings for over 55s is £20,087, which will very quickly diminish.”
In October, Mr Sunak announced £150billion spending plans in his autumn Budget speech.
However, millions of pensioners on fixed incomes who face a surge in food and fuel bills were left out of any help.
The triple lock is the term given to the Government’s promise to raise the state pension by either the rate of inflation, average earnings growth, or 2.5 percent.
Due to the pandemic and furlough artificially inflating earnings across the country, the Prime Minister and Chancellor opted for a “double lock” for at least a year and will not include earnings as an indication.
Despite the public outcry over the triple lock scrap, state pensions are set to go up by 3.1 percent next year in line with inflation.
It means the full new state pension will be around £185.17 per week for the 2021/22 tax year.
This is up by £5.57 from the previous year when it was £179.60, which means claimants will get an extra £289.64 per year, with their income jumping from £9,339.20 for a full 12 months up to £9,628.84.
The suspension of the triple lock has been met with anger among pensioners and politicians.
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