jloveday
Longterm Registered User
Hi all may be of interest to some of you, This message was sent to me on my Linkedin profile an i thought it may help some of you out
BUDGET 2014 – GOVERNMENT DROPS PENSION TRANSFER BOMBSHELL
It may have gone unnoticed to many ex-service personnel that in last month’s Budget, while civilian personal pension holders were being offered unprecedented personal freedom and well publicised access to pension funds from aged 55 ….. all that those with civil service public sector or defined benefit pension schemes were ‘offered’, was the loss of a basic freedom of pension choice under proposed new Government legislation.
It was clearly stated that:
“The Government plans to introduce legislation that would remove the option to transfer for those in public sector schemes.â€
In my personal opinion, ex-service personnel not in receipt of their pension or who have not already transferred out will find themselves beholden to this and to future government’s punitive legislation levelled at their “guaranteedâ€, “gold plated†pension schemes.
The Government went on to say that:
“... public service defined benefit pension schemes are a significant cost to the tax payer, as the schemes are largely underfunded.â€
I will leave you to draw your own conclusions as to what the future holds for those members of a “largely underfunded†defined benefit pension scheme that is “a significant cost to the tax payerâ€.
But it seems clear that time is running out for those in public sector pension schemes who are yet to review the option of transferring their pensions.
I want to stress, this is a personal view and should not be construed as advice or as a recommended action to transfer your pension. There are many considerations, and specialised financial advice should be taken.
Regards
jloveday
BUDGET 2014 – GOVERNMENT DROPS PENSION TRANSFER BOMBSHELL
It may have gone unnoticed to many ex-service personnel that in last month’s Budget, while civilian personal pension holders were being offered unprecedented personal freedom and well publicised access to pension funds from aged 55 ….. all that those with civil service public sector or defined benefit pension schemes were ‘offered’, was the loss of a basic freedom of pension choice under proposed new Government legislation.
It was clearly stated that:
“The Government plans to introduce legislation that would remove the option to transfer for those in public sector schemes.â€
In my personal opinion, ex-service personnel not in receipt of their pension or who have not already transferred out will find themselves beholden to this and to future government’s punitive legislation levelled at their “guaranteedâ€, “gold plated†pension schemes.
The Government went on to say that:
“... public service defined benefit pension schemes are a significant cost to the tax payer, as the schemes are largely underfunded.â€
I will leave you to draw your own conclusions as to what the future holds for those members of a “largely underfunded†defined benefit pension scheme that is “a significant cost to the tax payerâ€.
But it seems clear that time is running out for those in public sector pension schemes who are yet to review the option of transferring their pensions.
I want to stress, this is a personal view and should not be construed as advice or as a recommended action to transfer your pension. There are many considerations, and specialised financial advice should be taken.
Regards
jloveday
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