Public sector pensions increase

28/07/11

Further clarification of the proposed reforms to public sector pensions has been released today by the government.

The government is aiming to reduce its pension bill by £1.2 billion next year and thus public sector workers face increases of up to 2.4% in their contributions.

The plans have been extensively defended by ministers who point to the low level of increases for those earning between £15,000 and £21,000.

However unions have reacted angrily and further strike action is expected.

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