Pensioners protest across the country

Monday, 6 October 2003 12:00 AM

Thousands of pensioners are expected to take to the streets across the country demanding a rise in the basic state pension.

The National Pensioners Convention (NPC) is staging the rallies to coincide with the introduction of the Government's means-tested Pension Credit.

The NPC is complaining that the Pension Credit is one of the most complicated pieces of pensions legislation ever introduced and it's likely that, despite being eligible, well over one million older people will not receive it.

Rodney Bickerstaffe, NPC president commented, 'For the first time in over 50 years, under the Pension Credit, the government will be means-testing half the entire pensioner population. Yet all the evidence shows that means-testing and pensioners just don't mix. Many find it complicated and confusing to fill in or check the endless forms and intrusive and demeaning to those who have given a lifetime of service to their local communities.'

The protests will take place in Central London, Lincoln, Newcastle, Warrington, Birmingham and Rotherham.

The NPC claims that the Government's target of 73 per cent for take-up of the new credit would mean 1 million people miss out. They also warn that full entitlement to the savings element of the Pension Credit only applies to those single pensioners aged 65 and over, who also have a complete National Insurance contributions' record. Therefore single women aged 60-64 would be most likely to lose out in the changeover.

The NPC wants to see a rise in the universal state pension and claims that the new credit will be five to ten times more expensive to administer.

Mr Bickerstaffe stated, 'The only answer to the pensions crisis currently facing both today's older people and the pensioners of tomorrow is for there to be a substantially higher basic state pension and a restoration of the link to average earnings. This would provide a level of financial security that older people deserve and ensure that as a society we do not treat our pensioners like second class citizens.'

The new credit aims to guarantee everyone aged 60 and over an income of £102.10 a week if they are single, or £155.80 a week for pensioner couples.

The scheme is split into two elements - the Guarantee Credit and the Savings Credit - with the Guarantee Credit being available to the over 60's whilst the Savings element is only available to the over 65's.

The Conservative's announced yesterday at their annual party conference in Blackpool that they would re-establish the link between earnings and pensions.

Shadow Work and Pensions Secretary David Willetts announced that the Tories would increase in the basic state pension in line with earnings over a four year period by £7 a week for a single person and £11 a week for couples and take a million pensioners off means-tested benefits by 2006.

The NPC welcomed the Conservative announcement providing that the increase is properly financed through the current £20 billion surplus in the National Insurance fund or through increased contributions and not by taking money from other needy sections of the community.

Mr Bickerstaffe argued that the 'announcement is also a surprising u-turn considering that it was the Thatcher administration in 1980 that originally broke the link, leaving today's pensioners £30 a week worse off. That is why we still need to see a substantial increase in the basic state pension in conjunction with a restoration of the link with earnings to really tackle pensioner poverty.'

Tags: