chem1st Posted October 6, 2011 Author Share Posted October 6, 2011 http://www.bbc.co.uk/news/business-14920735 Then consider that that lower pension will buy even less as prices are rising... Share prices are falling and QE will be needed to prop them up, which will drive inflation and destroy the spending power of peoples pensions. http://www.reuters.com/article/2011/10/06/britain-boe-osborne-idUSAHL6LE74H20111006 £75 Billion QE (money printing) Inflation it is. Relative pension falls rather than nominal. http://www.bbc.co.uk/news/business-15196078 The Bank of England has said it will inject a further £75bn into the economy through quantitative easing (QE). The Bank has already pumped £200bn into the economy by buying assets such as government bonds, in an attempt to boost lending by commercial banks. But this is the first time it has added to its QE programme since 2009. There have been recent calls for it to step in again to aid the fragile recovery. The Bank also held interest rates at the record low of 0.5%. On Wednesday, data showed the UK economy grew by 0.1% between April and June, which was less than previously thought. Link to comment Share on other sites More sharing options...
xenia Posted October 6, 2011 Share Posted October 6, 2011 Brown raped your pension before Osborne was an MP Pensioners should blame the person on whose watch it is happening - George Osborne. And never forget. Link to comment Share on other sites More sharing options...
chem1st Posted October 8, 2011 Author Share Posted October 8, 2011 http://www.telegraph.co.uk/finance/personalfinance/pensions/8814750/Value-of-private-pensions-falls-by-nearly-a-third-in-three-years.html Workers nearing retirement face a "double whammy" from turmoil in financial markets that will leave them with pensions almost a third lower than those who finished work three years ago. And that's before you consider the inflation eroded spending power of said pensions! Link to comment Share on other sites More sharing options...
Andy Posted October 8, 2011 Share Posted October 8, 2011 I feel sorry for those retiring now. They are of a generation who probably thought they would be provided for in their old age, by the state and by their own savings/company final salary pension schemes. Yet inflation and low interest rates are eroding the value of their savings, final salary schemes are closed and the value of annuity (income) you can purchase with your pension pot has fallen. Plus they have to work longer to get their state pension, especially if they are female. At least I know times will be tough when I retire and can make appropriate plans. They didn't, necessarily. Link to comment Share on other sites More sharing options...
galanthusgal Posted October 8, 2011 Share Posted October 8, 2011 Blame Alistair Darling - he was the moron dithering when the current crisis started. Link to comment Share on other sites More sharing options...
chem1st Posted October 8, 2011 Author Share Posted October 8, 2011 Blame Alistair Darling - he was the moron dithering when the current crisis started. Blame the product. Pensioners haven't paid for their pensions, they entered a ponzi scheme. Link to comment Share on other sites More sharing options...
chem1st Posted October 12, 2011 Author Share Posted October 12, 2011 The deficit figures were published yesterday by the Pension Protection Fund, which protects workers with a defined benefit scheme. In September, the total deficit of its 6,533 member schemes had jumped to £196.4billion, just short of the all-time record of £208.6billion. A year ago, the black hole was just £40billion. The Bank of England’s decision last week to pump £75billion into the economy through quantitative easing is adding to the pressures. That is because this involves the purchase of bonds or gilts, pushing up their price but cutting their yield or return. High yields are crucial because they improve the health of a pension scheme. Read more: http://www.thisismoney.co.uk/money/pensions/article-2047988/Pensions-risk-200bn-black-hole-deficit-grows-80bn-4-weeks.html#ixzz1aZB8G397 Who would have thought pensions would get wiped out so quick? Link to comment Share on other sites More sharing options...
ricgem2002 Posted October 16, 2011 Share Posted October 16, 2011 Brown raped your pension before Osborne was an MP and the tories are raping it now Link to comment Share on other sites More sharing options...
Ms Macbeth Posted October 16, 2011 Share Posted October 16, 2011 I feel sorry for those retiring now. They are of a generation who probably thought they would be provided for in their old age, by the state and by their own savings/company final salary pension schemes. Yet inflation and low interest rates are eroding the value of their savings, final salary schemes are closed and the value of annuity (income) you can purchase with your pension pot has fallen. Plus they have to work longer to get their state pension, especially if they are female. At least I know times will be tough when I retire and can make appropriate plans. They didn't, necessarily. The state has let people with small occupational/private pensions down. My generation (and older) expected a level playing field at retirement. But by keeping basic state pensions low and introducing Pension Credit in 2003, the previous government effectively thumbed their noses at those of us who tried to provide a little extra for our retirement. It makes sense for those expecting fairly large incomes at retirement to contribute, but for people who may get just a few pounds more than if they'd never save, why would they? Link to comment Share on other sites More sharing options...
Guest sibon Posted October 16, 2011 Share Posted October 16, 2011 Brown raped your pension before Osborne was an MP And the investment companies have done even more damage with their excessive fees and poor performance. Link to comment Share on other sites More sharing options...
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