In contrast, civil service pensions are guaranteed inflation-proof income by the taxpayer and are paid as a percentage of final salary or career average salary.
These have risen each year in line with September’s inflation figures, rising 10.1% last year and are expected to rise by 7% next April, adding an estimated £3bn in costs. there is
The number of retired civil servants receiving more than £50,000 a year from the Whitehall Pension Scheme has surged by 53% to 4,741 this year from 3,092 last year.
By contrast, according to government statistics, the average annual income for all workplace pension programs is just £10,700.
John O’Connell, chief executive of the Taxpayers Union, added that “households feeling the pinch will be shocked by these increases in pension pots.”
“Bureaucrats are dwarfing the contract for most private sector employees, even as the taxpayers who pay them see their own savings squeezed. Enjoys an unfunded retirement plan.
“Ministers need to crack down on excessive pension schemes in the public sector.”
Neil Record, president of the Institute for Economic Affairs think tank, said civil servants were enjoying pensions “no longer available to ordinary workers”.
“This is effectively a tax on future generations for the private benefits that wealthy civil service retirees currently receive,” he said.
“These are unfunded pensions, and our children and grandchildren have to cover the difference between what workers contribute and what the government promised at the time,” said Liz Emerson, founder of the Intergenerational Foundation. It means you have to,” he added.
