Quote:
Originally Posted by papa smurf
how much do you imagine a 75 year old would be paying for this insurance
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It would have to be only for those in work.
---------- Post added at 18:07 ---------- Previous post was at 18:04 ----------
Quote:
Originally Posted by papa smurf
before the new messiah can scrap the triple lock he'll need to win the next election,i can think of a few people who won't be voting to be poorer
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Politicians will promise it, but if they decide to actually bring it back, when suddenly have to budget for it is another question.
The triple lock is something a politician would have to get rid of eventually because it's unsustainable. You can't have a pension scheme that will
always go up higher than wages to pay for it. It will become a bigger and bigger percentage of the budget irrespective of how well or badly the country is doing economically.
---------- Post added at 18:08 ---------- Previous post was at 18:07 ----------
Quote:
Originally Posted by nomadking
The triple lock only costs extra money when wages are above inflation and/or inflation drops below 2.5%.
Wages increase lag behind increases in inflation, so sometimes the wage part of the triple lock gives false double increases. Eg When inflation was 10%, pensions got the 10%, then inflation dropped, but meantime wages had increased above inflation because of the previous 10% inflation. Pensions had a partial double increase.
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Well, exactly, but that's what makes it stupid.
Inflation goes up, and the pension goes up. Everyone is pretty happy with that. Eventually wages will catch up, but under the triple lock, then it goes up even more.
It's a timebomb.