Retirement Fear over Sturgeon's Pension Plans

Daily Mail (London), September 25, 2013 | Go to article overview

Retirement Fear over Sturgeon's Pension Plans


Byline: Alan Simpson Scottish Political Reporter

NICOLA Sturgeon's policy on post-independence pensions lacks credibility and has left workers fearing for their retirement, experts have warned. The Deputy First Minister has promised the basic state pension would continue to be paid 'on time and in full' if Scotland were to vote for independence.

But a range of experts yesterday cast doubt on the cost and said workers now paying into retirement schemes faced uncertainty.

According to the Scottish Government report released this week, pensioners in an independent Scotland would receive [pounds sterling]160 a week from 2016. The figure for new pensioners would at least match any higher UK Government provision, estimated to be [pounds sterling]158.90 for the same year.

Ministers would ensure the pension keeps pace with earnings and rising costs, at least for the first term of an independent parliament.

But the paper fails to answer concerns about what would happen to cross-Border schemes after 2016 as any deal would have to be agreed by all 28 EU members.

According to Institute of Chartered Accountants Scotland, UK-wide companies with 'defined benefit schemes' - linked to salaries and not investments - might have to pay millions to fill black holes in schemes. …

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