UK Parliament / Open data

Pensions Bill

Proceeding contribution from Baroness Turner of Camden (Labour) in the House of Lords on Wednesday, 8 January 2014. It occurred during Debate on bills and Committee proceeding on Pensions Bill.

This, again, concerns a somewhat difficult point. Currently, paragraph 6(2) of Schedule 1 provides that amounts of pre-commencement pension up to the level of the full single pension will increase in line with “the full rate” of the single state pension, while any amount in excess of that will rise only in line with CPI inflation. In other words, the rate of revaluation is on the basis of prices rather than, as in the past, in relation to earnings. This takes into the

whole area of revaluation. We have already heard that, apparently, government policy is in future going to support the triple lock, which I personally have always supported. If the triple lock were accepted, and if our amendment were accepted, that would certainly bring the whole thing into line with the triple lock, because it would increase this section of the pension in line with earnings.

I am rather surprised that the Government continue to imagine that it is possible, in this particular section of the Bill, to have revaluation in line not with earnings, or indeed with the triple lock at all, but in line with prices. That is completely out of kilter with what will, hopefully, be in the rest of the Bill and with support for the triple lock. I therefore suggest that the Minister look again at the amendment and perhaps agree with what we are suggesting: that the amount to be revalued should be in accordance with the full rate of the state pension, which would of course bring you directly into the earnings section rather than looking at prices again. I do not think that we want to look at prices again in relation to any section of the Bill. If we are going to have the triple lock, which I hope we shall, that would of course not arise because the best of three would be payable in respect of all the pension payments referred to in the Bill. I beg to move.

About this proceeding contribution

Reference

750 cc375-6GC 

Session

2013-14

Chamber / Committee

House of Lords Grand Committee

Legislation

Pensions Bill 2013-14
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