As the Labour Government’s general election campaign continues, its latest pledge is to increase the basic state pension in accordance with earnings from 2012 – provided the party is re-elected. The pensions-earnings link was scrapped by Margaret Thatcher thirty years ago and replaced with the retail price inflation index (RPI).However, with pensions being linked to [...]

More: Labour pledges to increase basic state pension

Has labour taken into account that people are living longer than they did thirty years ago? This idea seems like it will cost a lot of tax pounds. I think it is smarter for people to invest in company pensions or private pension schemes - state pensions will never be enough for the average retiree to make ends meet, and if they do, they will be a massive drain on the state.