Share Poll

Poll link

500 px
350 px
250 px
Preview

widget preview:

Width - px Height - px

Close preview
! You are using a non-supported browser Your browser version is not optimised for Toluna, we recommend that you install the latest version Upgrade
Our Privacy Notice governs your membership of our Influencer Panel, which you can access here. Our website uses cookies. Like in the offline world, cookies make things better. To learn more about the cookies we use, check out our Cookies policy.

alansday

  1 month ago

Pensioner anomalies ( you just can't win can you ) ?

Forgive me once again for posting yet another boring "topic" but please stick with it as it may be of some interest ( eventually ).

You may remember a couple of months ago that the government removed the "average earnings" segment of the state pension "triple lock" for this year as they stated the expected 8% rise this would have provided to state pensions as being an "anomaly" and this was true in that workers returning from furlough thus increasing wages by 20% in some cases) and the fact that many low paid workers had lost their jobs during the pandemic did indeed skew the average earnings index for this year which I must agree is the case.

Now let's fast forward to yesterdays inflation figures for September. This rate actually unexpectedly fell from 3.2% in August to 3.1% for September.
Every sector in the basket of goods used to calculate the CPI inflation rate ROSE with the exception of a miniscule fall in clothing and footwear but one massive FALL in prices for the hotel & restaurant trade or (hospitality) sector. This was caused because in September last year the "eat out to help out" scheme ended and certain changes to VAT caused a skewing of the figures for this sector when taken September 2020 to September 2021. So one "anomaly" in the basket of goods was responsible for the fall but this wasn't recognised and removed as the average earnings part of the triple lock had been.

It just so happens that next Aprils state pension increase is calculated on the CPI inflation rate for September 2021 (3.1%). The government has chosen to remove the "anomaly" that would have increased pensions by 8% but totally ignored the anomaly that effectively reduces the state pension increase from a more realistic 3.5% to 3.1%.

You just can't win at the casino when the "house" is playing with loaded dice can you. LOL.

I think it would be a far more equitable system to average out the whole years inflation rate , rather than selecting just one particular month for calculating state pension increases going forward. What do you think ?

Afterall come this December inflation could be well pushing close to 5% in many analysts opinions.

Disclaimer:- Please can I make it quite clear to everyone that I'm still quite a number of years from qualifying for my state pension and as such I can't be categorized as holding a vested interest in my topics conclusions. LOL.

What do you think folks ?
Reply
Post

sueal1979

  1 month ago
My poor husband has lost so much since he retired. Lucks just not on the old persons side Reply
1 comments

Kitch55

  1 month ago
i am going to be a coffin dodger in 2 weeks they have screwed up a bit but i will manage! Reply
1 comments

Mark_W

  1 month ago
See below! Reply
1 comments

mumsutty

  1 month ago
i am a pensioner and have been for past 27 years been receiving a pension but cant trust the government to do what they say they are contradictory in all they say and do so will have to wait till april to see what happens wont hold my breath with this lot!! Reply
1 comments

Copied to clipboard

You’re almost there

In order to create content on the community

Verify your Email / resend
No thanks, I’m just looking

OK
Cancel
We have disabled our Facebook login process. Please enter your Facebook email to receive a password creation link.
Please enter a valid Email
Cancel
We're working on it...
When you upload a picture, our site looks better.
Upload