Crippling Cost of Providing People with a State Pension
CRIPPLING COST OF PROVIDING PEOPLE WITH A STATE PENSION – The year was 1907, the date January 1 when the Government introduced the State Pension.
It was a move that would begin the march towards entitlement and one that will eventually sink Britain into bankruptcy of which there will be no return.
In 1907 the idea of a state pension wasn’t in fact a bad thing; indeed the Government’s plan was quite sound in that it could raise funds for the treasury but in fact pay very little out.
The Government set the retirement age at 70; however the average British working man had a life expectancy of just 48 years of age; yes few in the Governments eyes would ever live long enough to have access to a state pension.
When you look at the scenario the Government set forth it is equivalent today at setting the pensionable age at 115.
In 1907 the British public openly accepted that they would be able to shrug off any responsibility of taking care of themselves in their old age; a trend that would be further exasperated with the introduction of other welfare systems.
Not only are we now fully dependent on our Government but we also feel ultimately ‘entitled’. Yes we’ve discuss the issues of entitlement on many occasion and despite the facts it appears we would rather forsake the well-being of our nation for our own personal gain.
Over the next 50 years, based on the assumption that Government does not increase the age limit in which state pensions become available, the cost is set to grow by over four times.
In the last autumn statement by the Chancellor it was discussed that the Government should bring forward more quickly the raising of the age limit; the suggestion was to bring pensionable age up to the age of 68.
According to data from the Office of National Statistics (ONS) there are currently 5 million men and 7.3 million women receiving a state pension at a cost of £94 billion. This figure doesn’t factor in all other benefits such as heating allowance, housing benefit or disability allowance and when added together the cost reaches a staggering £110 billion.
By 2032/33 the ONS estimates that the cost would have raised to £170 billion and by 2062/63 will climb to approximately £438 billion; although if you factor in other cost such as mentioned above this figure will balloon to £491 billion or 9.4% of Gross Domestic Product (GDP).
Do you still think the state pension is affordable to the country?
I see little evidence of a cohesive society, be it multicultural or not. What I see is a nation divided by entitlement; that is we are merely interested in what we can get from the system.
We constantly moan at and berate our Government for failing to take care of us and our interests and yet we do nothing but depend on Government and insist that it cares for us from the cradle to the grave.
We have become a lazy and irresponsible nation in fact all of our financial and cultural woes could be attributed to such as we simply refuse to take responsibility for our own lives and instead rely on Government to cover every facet of our existence.
I’m clocking close to 50 years of age and I already know there isn’t going to be a state pension but such a notion doesn’t concern me at all for I have plans in place to help in my very senior years; to be honest it’s likely Britain will go bankrupt before I reach 55 year of age and therefore all the pensions, welfare and benefits that people demand they are currently entitled to simply will not exist.
What would you do if you woke up to find a news reporter announcing that Britain has been declared bankrupt and that no bailout exists because the other EU member states are already heavily into debt and therefore can’t provide assistance?
Will you still stand and declare that you are entitled or will you find other measures to provide for yourself – the truth is you won’t have a choice; it’ll be self sufficiency or demise, pure and simple.
It is time we accepted that Pensions, like all other forms of welfare, needs eradicating and plans need putting in place without delay.
Yes we have to take care of the current population of pensioners for they have been trapped into the system but clearly there needs to be a cut-off point and if we don’t allow such soon there will be no Britain.
Watch the video above and maybe you’ll finally realise just how close Britain is to bankruptcy. Yes you’ve heard the stories of how Britain is now in a period of economic recovery but this simply means the Chancellor won’t have to borrow as much this year as opposed to last year.
You can dress up the economic recovery any way you please but the truth is we continue to borrow, we continue to pile on debt and we continue to push Britain closer to the precipice of financial ruin all because of our dependency on the state and the notion that somehow we are entitled.