News story

13th September 2004

Local MP Launches Bid to Tackle Pensions Crisis

Lib Dem leader Charles Kennedy and Steve Webb discussing the pensions policy document

Local MP Steve Webb and Lib Dem leader Charles Kennedy have launched a new strategy to tackle the growing pensions crisis. Steve Webb, who is the Liberal Democrats' spokesman on pensions issues has played a leading role in developing the proposals, which were launched at a Westminster press conference.

One of the main aims of the new policy is to reduce the number of pensioners who need to claim means-tested benefits in order to bring their income up to a decent level. Under the proposals, every pensioner aged over 75 would see a boost to their pension of 25 pounds per week, which would be of particular benefit to the many older pensioners, many of them widows, who do not currently claim the means-tested benefits to which they are entitled. The Lib Dems also propose to end the pension rules which mean that women who have spent many years bringing up children or caring for elderly relatives end up with poor state pensions.

In addition to announcing plans for the state pension, the Lib Dems have also developed plans to boost the security of company pensions which have been hit by scandals in recent years.

Commenting on the plans, Steve Webb said:

"Too many pensioners in our area are being forced either to claim complicated means- tested benefits or to struggle by on meagre incomes. Many older pensioners and women in particular still get a very raw deal from the pension system. These Liberal Democrat proposals will help to guarantee security and dignity for such pensioners and will right a longstanding injustice.

For the longer term, the pensions system needs to be simple and secure so that people can make informed choices about how and when to save, in the knowledge that their money is safe. Our policy proposals will also address these concerns."

The ideas contained in the policy document, "Dignity and Security in Retirement", will now be debated at the Liberal Democrats' Autumn conference in Bournemouth which starts on September 20th. Steve Webb will respond from the conference platform to the debate, which takes place on Wednesday 22nd September.