Trust in government and state pensions is at an all-time low, and no wonder.
Longevity and ability to carry on working are two totally different things, but number crunchers ignore that because they probably have a remit to justify increasing the state pension age.
To prevent successive governments unfairly pulling the promised benefits (at a promised age) from the people, the answer is blindingly obvious.
Each year, every person who has earned a state pension credit should be guaranteed that state pension credit for that amount, guaranteed to be paid at the retirement age that was promised under law at that time. In other words, create a contracted benefit that cannot be reneged at parliamentary whim.
At least this way people might be able to plan their retirement with some degree of certainty.
Clive Fox
Court ruling
I fully endorse Mr Justice Snowden’s decision over the Prudential annuities transfer to Rothesay Life and his explanatory comments(August 19).
I have worked overseas as a research scientist for and in developing countries for most of my working life. And despite making – for many years – second class national insurance contributions to the UK, I receive a UK state pension of only £4,490 a year.
On retirement, I converted my two Equitable Life policies, taken out in my early twenties, for £1,000 and £2,000 respectively, to Prudential pension policies on the advice of a government advisory service.
You will be aware that Equitable Life was highly regarded at the time yet nevertheless suffered badly – evidently due to poor management many years later. I believe I was similarly well advised to take out Prudential pension policies.
It was with some dismay I learned of its proposed transfer to another company that I had never heard of.
Thank goodness the case went to the High Court and was not left just to the Prudential Regulation Authority and the Financial Conduct Authority.
Richard Vernon
CII backtracks
I write concerning the story about the Chartered Insurance Institute’s backtracking over its financial planning qualification plans with St James’s Place.
The PR writers have obviously been busy sorting out the CII’s position on this issue.
The course still comes across as having been an exclusive facility created for SJP, ignoring the potential backlash from members in general.
Fair enough, SJP has made a good contribution to preparatory work. But the worrying aspect here is that one strongly commercial company is involved, apparently, and able to stamp its own sales approach to whatever subject is involved.
Does it matter? Yes, definitely. Keith Richards, chief executive of the Personal Finance Society, has been an advocate of “a single advice industry” with no regard for the very different interests and disciplines.
For example, advisers working for the client investor, in contrast with agents of product providers selling their products.
The great danger is that the CII/PFS lose the all important independent role as provider of educational material and become beholden to providers and their spin.
Andrew Dickson
Recording meetings
Regarding the story about the FCA urging advisers to record client meetings (September 19). It seems to me that many clients would object to this and would see it as a step too far.
We make notes in meetings and most clients understand that, but recording their very words would make most of them uncomfortable.
Name and address supplied
State pension age woes
I have been upset about the increase in the state pension age for a long time. So I am glad that it is being taken seriously. I feel desperate that I may not get to spend time with my husband of 40 years in retirement.
I started work in 1972 and at that time was not permitted to join the bank pension scheme until I was 21.
At 23, I left to have my first child and was told that as I had not worked for the bank for a full five years I was not eligible for the pension scheme. I was not entitled because I had only accumulated over two years at this bank.
Following the birth of our first child, I resigned to work for a small commodity brokers for just two hours a night. Again, I was not eligible to join the work pension scheme as I worked less than 16 hours a week.
Then, at 28, I had my second child while still working for two hours a night at the same company. This continued until I was 32 and took the same job but from 10am until 3pm, but again I was not eligible for the company pension because they did not offer this to part-time staff. I could not win.
I took out two small private pensions at the age of 34.
I was made redundant and took another role with another broker company who said that their company pension would not permit any other pension to run alongside theirs. So I had to stop the private pensions and accepted the company pension.
So, I have been working non-stop since 1972 and, guess what? My state pension as of today is due at the age of 66 years and six months.
Now here is the other thing I worry about the very most.
My husband is 67 and I am 62. He plays golf and walks to the local school to pick up our grandchildren around two to three times a week.
I, on the other hand, have rheumatoid arthritis, fibromyalgia and spondylitis. In addition to this, I sit at a desk for seven to eight hours a day, Monday to Friday.
My biggest worry is that, by the time I get to the retirement age of almost 67, how long will we have together in our retirement years? We will never have the time together as we planned.
Kim Edwards
