Brown asks for review into MPs' pension schemes

[Albus]

(edited for copyright purposes-proud patriot moderator democratic underground)


http://www.guardian.co.uk/politics/2009/feb/14/gordonbrown-economy

Gordon Brown acknowledged Britain's austere times yesterday by spelling the end of MPs' lucrative final salary pension scheme. The move will infuriate some MPs but they are unlikely to win sympathy from the many private-sector workers who have lost access to such generous schemes themselves .

Brown wrote to the government actuary last night saying that he had asked the senior salary review body to conduct a review of MPs' pensions.

Apart from considering the abolition of a final salary scheme, Brown's preferred option, the prime minister said he wanted a review to look into "increases in the MPs' pension age, changes in the provisions for retirement on the grounds of ill health, increases in member contributions, changes in the accrual rate, changes in the maximum level of benefits that can be built up".

Final salary pension schemes guarantee workers a retirement income that often equates to two-thirds of their annual salary in their final year in their job, so leaving most MPs on a £40,000 annual pension.

(snip)