Flat-rate state pension will be set at £155 per week
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Ministers are planning to introduce a new flat-rate pension of £155 a week, it emerged last night.
The reform to the basic state pension is expected to be announced next week but will not start until 2015 or 2016.
The current full state pension is £97.65 a week for men and women, but is topped up to ensure a minimum income of £132.60.
The £155 figure is higher than the £140 a week previously mooted by the Government. However, it makes no distinction between "rich" and "poor" pensioners.
Confirmation of the Government's intentions was given in Chancellor George Osborne's Budget on 23 March. However, the flat-rate pension would be available only for new pensioners reaching state retirement age, the BBC said.
The reform will mean the state second pension will be abolished. It would also bring "contracting out" arrangements to an end, where some pay lower National Insurance contributions because their second state pension is contracted out to their company final salary pension.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments