AIBU to be concerned that my State Pension is referred to as a 'Benefit'?

For whatever reason, it was decided, a few years ago, to refer to pensions and a “benefit” and part of the welfare costs.

I think it’s part of this ”them and us” mantra the government like.🙄

If semantics were the issue, then how was it that the age-tested state widow’s pension which was paid to a widow until she reached the then women’s pension age of 60 - was abolished in 2001?

The argument was one of cost saving, or rather, cost redirection. The money was said to be redirected into the old age pension. Young widows like me - whose husbands had paid decades of NIC but who would never see their state pension - were, instead, awarded a short term widow’s bereavement allowance.

Also, when the State Earnings Related Pension Scheme (SERPS) was introduced in 1978, there was provision for widows to inherit up to 100% of their late husband’s entitlement.

In 1986, the Conservative Government, concerned at the emerging costs of SERPS, passed legislation which reduced the percentage of SERPS which could be inherited from 100% to 50% in respect of a death on or after 6 April 2000.

However, as a result of inadequate publicity for this change, the Labour Government decided to postpone it until 6 October 2002 and to phase in the reduction so that the full 50% cut would not be achieved until 6 October 2010. For those who had been misinformed and were not fully covered by the new arrangements, the departmental compensation scheme was a possibility. (Interesting in the light of the WASPI maladministration.)

researchbriefings.files.parliament.uk/documents/CBP-7631/CBP-7631.pdf

These past changes show that government can and will abolish or reduce contributory benefits on the grounds of cost.

Arguably, these are different. They are or were inherited benefits (that some can still inherit) rather than earned by the claimant. Nevertheless, the fact remains that they were always called pensions - widow’s pension, addtional state pension. It did not stop the governments of the day abolishing or reducing the entitlement.

In other words, the terminology is irrelevant.

New state pension is and will be less expensive for government to pay as the people who were able to contribute to basic state pension and additional state pension die and any inheriting partner dies too.

Equalising state pension age has been very costly for the women most affected by the change - lost pension we won't break even on unless we live beyond 80.

Anybody whose NI contribution record began on or after 6 April 2016 will not be able to contribute towards a higher state pension. Life expectancy for younger people is decreasing. It's evident that baby boomers are not enjoying the same longevity as their parent's generation. Similarly millenials may not have the longevity of their parents. It's a problem for the actuaries to address not least if AI reduces the number of jobs available for future generations but I do think that NIC has had its day.

My husband gets industrial injury benefit. Quite a lot of money BUT our borough includes it as income so we don't get housing or council tax benefit. In the next door borough they ringfence it as a payment to cover the extra cost of living for being disabled and don’t count it as income so we'd qualify for housing and council tax benefit. I just wish all places used the same criteria

Perhaps your combined income is too high to qualify for other benefits, whichever borough you live in.

I agree with you Jess20, I noticed that State Pension claimants have been labelled 'benefit' claimants. If OAPensions are benefits, what is the point of working / contributing?? Therefore everyone will get the same whether they worked on not