Last month we asked you to contact your MP regarding the new pension bill. Well, you didn’t disappoint We received a staggering response, resulting in a tidal wave of letters/emails going to MPs! Who then sent the wave on to Minister Torsten Bell. HPPA is on the radar.
A special thank you to all those who shared their very moving experiences of how the lack of discretionary increases has affected them and their family.
Here’s one letter, included with permission, that poignantly illustrates the effect of the lack of Pre-97 pension justice.
My husband joined the Royal Navy as an apprentice and signed on for 12 years but does not qualify for a naval pension. When he left the Navy in 1971 he joined DEC and remained with the company through all its changes until he retired in April 2002.
He has mixed dementia and I cared for him until he went into a care home. We own our house and saved carefully so that we could live comfortably in our retirement. This means that he is funding his care fees using his pensions and savings. However, I calculate that his savings will probably run out within the next year and if he predeceases me I shall have to approach our Local Authority for assistance . If they do contribute to his care a charge will be put on our property so that all money given to him will have to be repaid when it is sold.
There is also the risk that the Local Authority may wish to move him to a different home where the care fees may be cheaper. Also they will ask if other members of the family can contribute despite the large amount he has already paid.
I understand that his pension has lost 70% of its value since he started receiving it. If it had risen in line with inflation, we would have been able to save more and probably not be living in uncertainty as to whether his savings will last long enough. I realize that we are not the only people in this situation, and I think most of us live with anxiety nearly all of the time worrying about how we can continue to provide care fees for our relatives. This is even more distressing as no Government is prepared to address the situation and provide help. Oh, and my husband is now paying tax on his state pension which doesn’t help the situation.
If I survive him,I will inherit part of his pension so this problem may eventually affect me
This is why I am giving my support to HPPA in their attempt to obtain an amendment to the new Pensions Scheme Bill so that it will empower trustees to use surplus money to fund discretionary increases for members, such as those with pre-1997 pension service.
We would appreciate hearing from you about how the pension in justice affects you. We can use this anonymously, of course, in the discussions as the Bill progresses and with our meeting in September with the Trustee.
