The Socialist

The Socialist 4 April 2007

Children suffer in low pay Britain

Children suffer in low pay Britain


Iran - Sailors fall victim to imperialist policies


Brown's pension robbery

Blair: No solutions to crime or crowded prisons

Waltham Forest protest - more memorable than Prince Charles!

Commemorating the abolition of the slave trade


One Life: Ricky Tomlinson

In The Line of Fire

Days of Glory


Take national action to defend education

Labour's market policies damage education

Privilege and privation in our schools

NUS leadership abandon fees fight


London strikers close passport office

PCS members take industrial action

Anger on Newport picket line

Upbeat London rally


How to stop the BNP: Build a political alternative

Campaign for a New Workers' Party


Ammanford home care workers march

Frustration at demo delay

We shall not be moved!


Save Sadiq Abakar

Leicester protesters challenge Home Office


Trade union leaders heckled over inaction

Action needed as Ford bosses close Leamington plant

Celebs fail to save Burberry

Greenwich: "We've got to strike"

Burslem postal workers strike again


British government and local parties retreat on water charges

We Won't Pay Campaign

 
 

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Brown's pension robbery

THE TIMES has revealed that one of Gordon Brown's first acts as chancellor in 1997 was to give big business the green light to cut workers' occupational pension schemes.

Bill Mullins

They quote one former minister saying that Labour MPs would think twice about Brown becoming leader when they feel the public anger about pensions, as they campaign in the local elections. He said a cab driver had just told him: "You bastards raided my pension".

According to recently released papers, Brown ignored advice from civil servants and ended the tax credit on dividends that the pension funds got back from their investments in stocks and shares.

When Brown ended this it was the signal for many companies to end final salary schemes.

Pensions are deferred wages. When the workers affected found that they were not going to get a pension based on their final years' salary but something far less, there was furious reaction.

The Labour government has pretended over many years that it was nothing to do with them but was a result of workers living too long.

The ending of tax credits was not the only reason for the widespread ending of what was known as "defined pension rights". Companies also took massive "pension holidays" - they stopped paying employers' contributions. Through this they saved over 20 billion between 1987 and 2003. The TUC estimates they saved 4,000 a worker every year.

The news is being seized on by the Tories who are using it in the run-up to the May elections. And bosses' union the CBI say they did not support the changes. But this is like a gang of thieves falling out over splitting up the loot.

As a result of this, seven million workers are substantially worse off. You can guarantee that none of the bosses, or politicians like Brown are worse off.

Brown's own pension as chancellor at 53,000 a year will more than double when he becomes prime minister to 123,000 a year.

The cabinet as a whole has a nice little pensions pot of 25 million paid for by tax payers, there has been no contributions holiday for them.


In this issue

Children suffer in low pay Britain


Socialist Party editorial

Iran - Sailors fall victim to imperialist policies


Socialist Party news and analysis

Brown's pension robbery

Blair: No solutions to crime or crowded prisons

Waltham Forest protest - more memorable than Prince Charles!

Commemorating the abolition of the slave trade


Socialist Party reviews

One Life: Ricky Tomlinson

In The Line of Fire

Days of Glory


Education

Take national action to defend education

Labour's market policies damage education

Privilege and privation in our schools

NUS leadership abandon fees fight


PCS takes industrial action

London strikers close passport office

PCS members take industrial action

Anger on Newport picket line

Upbeat London rally


Campaign for a New Workers Party

How to stop the BNP: Build a political alternative

Campaign for a New Workers' Party


Socialist Party NHS campaign

Ammanford home care workers march

Frustration at demo delay

We shall not be moved!


Asylum

Save Sadiq Abakar

Leicester protesters challenge Home Office


Workplace news and analysis

Trade union leaders heckled over inaction

Action needed as Ford bosses close Leamington plant

Celebs fail to save Burberry

Greenwich: "We've got to strike"

Burslem postal workers strike again


Northern Ireland

British government and local parties retreat on water charges

We Won't Pay Campaign


 

Home   |   The Socialist 4 April 2007   |   Join the Socialist Party

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