Speaking at the weekend, the Liberal Democrat MP for Thornbury and Yate, said proposals which would see an individuals entitlement to state pension derived from their contributions, rather the employment record of their spouse, would save hundreds of millions of pounds a year for the taxpayer.
As part of the Pensions Bill, unveiled in this week’s Queen Speech, Mr Webb said the current rule whereby thousands of spouses of UK citizens receive a married persons allowance will be abolished.
Many of those affected live overseas, and have never set foot in the UK, according to Mr Webb.
He said: “It’s not about their nationality, it’s about whether they have put into the British system.”
Adviser View
Rob Simpson, managing director of West Midlands-based Simpson Financial Services, said: “I would suspect that in a world of fairness and transparency and a lack of funds, this is probably the only way to make the system fairer. Ultimately, the state pension has been tinkered with every year since 1978, and the public receives less and less every time.”