Pension policy roundup: What made the manifestos?

The Labour Party, Conservative Party and Liberal Democrats all published their manifestos last week, with climate change and the triple lock featuring heavily.

The Green Party and Wales’ Plaid Cymru also published manifestos last week, with Reform UK and the Scottish National Party expected to follow soon.

Polling data in this article is based on BBC research, and forecasts of parliamentary seats are taken from ElectionMaps.uk.

Reform UK

Reform UK could take the third biggest share of votes on 4 July, behind Labour and the Conservatives, according to current polling data. However, a YouGov poll published on Thursday put the party one point ahead of the Conservatives.

Today (17 June), the party published its “Contract with the People” manifesto, in which it set out plans to bring utilities into a shared ownership model, split 50-50 between the taxpayer and UK pension funds. It said affected utilities companies would benefit from “new expertise and better management” while capping charges.

It also intends to review the pension system. It said: “The current pension system is riddled with complexity, huge cost and poor returns leading to less uptake. Countries like Australia do savings and pensions much better and cheaper than we do and from a much younger age.”

In its first 100 days, should it win the election, Reform UK said it would establish a Royal Commission to review the country’s social care system for the elderly and to recommend changes.

It also pledged support for members of the Mineworkers’ Pension Scheme and said it would amend the surplus sharing arrangements “so that all the scheme surpluses accrue to the mineworkers”. This is in line with policies set out by Labour and Plaid Cymru (see below).

Reform UK had one MP, Lee Anderson, when parliament was dissolved on 30 May. Anderson switched from the Conservative Party in March this year.

Scottish National Party (SNP)

Scotland’s biggest party – based on the 2019 UK general election result – has yet to release its manifesto but has already stated its intent to support women born in the 1950s in their bid for compensation over the increased state pension age.

A spokesperson for the SNP told Pensions Expert last week: “The SNP supports full, fair and fast compensation for the WASPI women. WASPI women deserve so much better than years of Westminster betrayal and the SNP will stand with them until they receive fair pensions and the justice they deserve.

“The SNP will always stand up for Scottish pensioners and we continue to support the triple lock. Further information will be set out in our manifesto which will be published in the coming weeks.”

After the Parliamentary and Health Service Ombudsman issued a damning verdict against the Department for Work and Pensions in March, several parties have made explicit promises to address the issue that has affected thousands of women born in the 1950s.

The Conservative Party said in its manifesto that it was “carefully considering” the ombudsman’s report and would “work with parliament to provide an appropriate and swift response”.

Approximately 23% of Scottish voters are expected to back the SNP, which may result in a significant drop in the party’s representation in Westminster.

Plaid Cymru

Wales’ Plaid Cymru has also expressed support for compensating women affected by the state pension age increase.

“We support compensation payments of at least Level 5 of the ombudsman scale for all 1950s women pensioners affected, amounting to between £3,000 and £9,950,” it stated in its manifesto, published on Thursday.

Pensions policy is controlled by Westminster and is not devolved, so none of the regional parties such as Plaid Cymru or the SNP can make changes themselves.

Plaid Cymru called for an end to the surplus sharing arrangement with the Mineworkers’ Pension Scheme, a policy it shares with the Labour Party and Reform UK.

It also supports linking the income tax personal allowance to the state pension triple lock, similar to the Conservatives’ “triple lock plus” plan.

Plaid Cymru had two MPs in Westminster before parliament was dissolved on 30 May, but this could double after 4 July, according to a forecast from ElectionMaps.uk.

Green Party

The Green Party stated that it would require all “non-bank financial institutions” – including pension funds – to “remove fossil fuel assets from their investment portfolios, securities transactions and balance sheets by 2030”.

It also pledged to introduce a flat rate of pension tax relief, in line with the basic rate of income tax – reducing the level of tax relief for higher earners. The Green Party said it intended to use the proceeds to help “fund the social care that will allow elderly and disabled people on low incomes to live in dignity”.

The Green Party – which serves England and Wales – had one MP before 30 May, Caroline Lucas. According to ElectionMaps.uk, the party stands to gain a second seat in the Bristol Central constituency, based on current polling data.