Local MP welcomes pension increase

April 7, 2011 11:08 AM

MP for Carshalton and Wallington Tom Brake has welcomed the news that starting from yesterday every pensioner will see a guaranteed rise in their state pension to match the highest of inflation, increase in average earnings or 2.5%.

The move means that this year 32,000 pensioners in Sutton will receive a rise of £4.50 a week, totalling £7.5 million of extra money for pensioners throughout the whole borough each year.

Tom said: "I know that this will be a great help for pensioners in Sutton. A pensioner retiring today can expect to receive around £15,000 more in basic pension over the course of their retirement than they would have done in the past."

On Monday, Pensions Minister Steve Webb also announced that, as part of the Government's pension reform, a flat rate pension of £140 would be introduced.

He said: "We will replace a complex pension system, in which many people don't know what they are entitled to with a single, simple and decent flat rate state pension. "

Tom added: "This is a real positive step towards ensuring future pensioners have the guarantee of a decent future."

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