Younger generations will receive a “derisory” state pension in retirement because the cash reserves that fund payouts to the elderly will run dry next year, a report will warn on Friday.
A think tank claims to have discovered a “serious flaw” in the national accounts that within 12 months will leave the Government short of money to pay pensioners.
As a result, the Treasury will be forced to raid income tax receipts to ensure old-age payouts continue, according to the influential Centre for Policy Studies.
He’s noticed that the national insurance find won’t cover the pensions bill. Quite true and long known. So, general revenues will be used to pay it. Also long known.