WELSH PENSONER POVERTY SET TO DOUBLE OVER NEXT 25 YEARS

November 11, 2009 12:00 AM

Today, Jenny Willott, Welsh Liberal Democrat MP for Cardiff Central, called on the Government to increase the level of the Basic State Pension or risk seeing pensioner poverty double in Wales over the next 25 years to 214,157 pensioners.

The figures were calculated using research from AXA showing that 64% of people are expecting to rely on the state pension in their retirement.

Jenny spent last week seeing what is what like living off the Basic State Pension of just £95.20 a week.

Commenting Jenny said:

"Pensioner poverty in Wales is set to explode over the next 25 years.

"An astounding two-thirds of people are expecting to live off the state pension in retirement. But the state pension is set below the poverty line meaning many of them will get a nasty shock when they hit retirement.

"The problem is that Gordon Brown's complex pension credit system means that someone who does save may end up getting the same in retirement as someone who doesn't. This is a major disincentive to save for retirement.

"People need to know that the state pension will keep them out of poverty and that their savings will be paid on top. This is why we want to scrap pension credits and raise the state pension level to the poverty line."

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