news story

4th March 2010

Local MP Speaks Out in Parliament Against Pensions Freeze

Steve Webb speaking up for pensioners in the House of Commons

Northavon MP Steve Webb has this week led opposition in the House of Commons to freeze parts of the state pension received by tens of thousands of local pensioners. In April 2010, the basic state pension will rise by 2.5%, but the other parts of the state pension – the State Earnings Related Pension (SERPS) and the State Second Pension will be frozen. With inflation running at around 3.5%, this will mean a real cut of the vast majority of pensioners.

On Monday, Parliament debated the new benefit rates for the coming year and Steve Webb spoke out from the Liberal Democrat front bench against the freeze. He said:

“The pension system is so complex that many people do not realise that their pension is made up of several different parts. The basic pension is going up, albeit only by a couple of pounds a week, but the other parts of the pension are being frozen. With the cost of living rising rapidly, this is going to put an even greater financial squeeze on pensioners. I have already heard from local people who are angry that this freeze is being sneaked through with so little publicity”.

The debate on this issue took place on Monday with the vote being deferred to Wednesday. Steve led Lib Dem MPs in voting against the plans, but they were outvoted by Labour and Conservative MPs who supported the freeze.

Speaking after the vote, Steve Webb said:

“I am very disappointed that more MPs did not follow our lead in opposing this underhand cut in real living standards of pensioners”.

Read Steve's House of Commons speech here