Fears that pensioners’ benefits could be cut after 2015
Iain Duncan Smith has suggested that benefits for pensioners may not be touched until 2015
17:51 09 January 2013
Britain’s pensioners may not have to suffer cuts to their benefits over the next few years, at least until after the next General Election in 2015, it has emerged. Although, changes to pensioners’ benefits could come with the next Government.
From 2015 pensioners could expect to see cuts on universal benefits such as bus passes, TV licenses as well as winter fuel allowances, according to some reports.
Prime Minister David Cameron has promised to protect pensioners’ benefits until 2015, and it is hoped by many that the government can follow through with his pledge.
Some sources state that as of two years from now, some of these benefits could be means tested.
The Secretary of State Work and Pensions Iain Duncan Smithhas stated that if there were to be cuts made, pensioners may need time to adjust financially.
He spoke of the situation surrounding pensioners on BBC Radio Four's Today Programme, as reported by The Telegraph.
He said: “For the next generation coming through [we want] to ensure they make the kind of savings, the provisions, that allow them to be taken above any extra dependence on the state whilst they receive a decent basic state pension."
There are fears that if there is to be a future raid on this area of benefits it may also affect individuals who budget for when they reach retirement age. This is a feeling shared by the Director General of Saga, Ros Altmann.
She has previously said: “People with savings have often struggled to put that money aside and denied themselves things so that they can have financial independence.
“It is important that we encourage people to save for their future, but if we continue to punish those who have done so, especially as they reach retirement, younger people will decide it is simply not worth it.”
Saga is a UK business dedicated to helping people over the age of 50 years old.