Manx state pension proposals 'not discriminatory', minister says
Plans to remove the "triple lock" system for some Manx state pensions are not discriminatory under the Equality Act, the treasury minister has said.Concerns were raised in the House of Keys that changing the system for those who retired after April 2019 would be prejudicial.Plans to introduce a new calculation for annual state pension uplifts to preserve the National Insurance Fund were outlined in January.Treasury Minister Alex Allinson said there was a need to "regain control" over the uprating of the basic pension and the proposals did comply with the Equality Act.
Under the current "triple lock" system the state pension increases each year in line with CPI inflation, average earnings, or 2.5% - whichever is higher.But a report, published in October, forecast that the £1.09bn fund would be exhausted by 2047-48 if that mechanism was retained.
'Bedrocks of the welfare state'
The proposed change would see pensions rise by either 2% or inflation, whichever was higher, in what Allinson said was a Manx pension "double lock guarantee".It would be applied to anyone who reached state pension age after 5 April 2019.But a number of politicians voiced concerns that the changes were unfair for a specific group of people. Ramsey MHK Lawrie Hooper asked how treating "different pensioners differently advances equality of opportunity".Onchan member Julie Edge also raised fears that the legislation would be discriminatory for those people reaching Manx state pension age immediately after the cut off date.And Douglas Central MHK Chris Thomas asked whether the Treasury minister had taken legal advice, as "there are fundamental differences between the UK and here".However, Allinson said the act "expressively permits differences of treatments in certain circumstances", and there needed to be a change in policy over pensions.He said: "It cannot be the case that the government is bound to continue providing it or indeed any other thing or service."If we do nothing the National Insurance Fund, which is one of the bedrocks of our welfare state, will run out."
Read more stories from the Isle of Man on the BBC, watch BBC North West Tonight on BBC iPlayer and follow BBC Isle of Man on Facebook and X.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Telegraph
15 hours ago
- Telegraph
Staff at financial regulator revolt over female-only lavatories
Staff at the financial regulator have revolted over a decision to make lavatories single-sex in the wake of the Supreme Court ruling on gender. The Financial Conduct Authority (FCA) is changing several office spaces after judges ruled in April that the terms 'woman' and 'sex' in the 2010 Equality Act 'refer to a biological woman and biological sex'. The ruling prompted new guidance from the Equality and Human Rights Commission. Under new internal FCA guidance, lavatories and showers should only be used by colleagues of that 'biological sex'. However, transgender men and women will still be able to use 'accessible toilets' under the changes. Disgruntled staff have now chosen not to represent the FCA at Pride events and attend individually instead. An FCA source said some employees feel 'uncomfortable' about the decision. They concluded: 'We will be attending as individuals, united in our support of the transgender community.' 'Sideline and ignore them' Helen Joyce, director of advocacy at human rights organisation Sex Matters, said: 'No doubt some activists, both inside and outside the FCA, will now noisily oppose the new policy. 'Senior managers should sideline and ignore them, just as they would with any other group advocating for breaking the law.' A FCA spokesman said it understood colleagues had been 'impacted' by the 'sensitive issue'. He added: 'In light of the Supreme Court ruling, the EHRC interim update and existing facilities in all offices, we concluded we needed to change our approach. 'We did this promptly to give clarity to colleagues on which facilities to use, which in itself offers individuals confidence, privacy and dignity when using our facilities.' Ther spokesman said that the FCA 'respects the decision some colleagues have taken not to represent the FCA at Pride'.
Metro
16 hours ago
- Metro
Interest rates predicted to stay at 4.25%
The UK interest rates are set to remain the same amid worldwide uncertainty and rising inflation. The interest rate is set to stay at 4.25% following a jump in inflation in April. Interest rates determine how much money people have to pay on loans or mortgages from a bank or a credit card. This means home buyers eyeing up a property cannot expect the cost of borrowing to be slashed when the Bank of England decides on the interest rate figure on Thursday. The decision will be made by the Bank of England's monetary policy committee (MPC) next week. It has voted to cut the rates at every meeting previously since it started easing borrowing costs last August. The current rate has reduced from the earlier 5.25% at the height of the cost of living crisis. British consumers faced the highest prices in 2023 during the height of the cost-of-living crisis, which is still gripping the country. There was light at the end of the tunnel until inflation surged to its highest level for more than a year in April, the latest figures from the Office for National Statistics show. To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Consumer Prices Index (CPI) inflation hit 3.5% in April, up from 2.6% in March. The ONS said the April figure should have been 3.4 due to an error in vehicle tax collection. Ellie Henderson, an economist for Investec, said monetary policy 'seems to be in a good position, allowing the Bank of England to wait and see how economic conditions and the international political backdrop evolve.' 'Ultimately, this is a highly uncertain time that requires a potentially nimble response from central banks, limiting any great foresight,' she said. 'Although the June decision might seem clear cut, how the MPC responds to the evolving economic backdrop thereafter much depends on the details of the world in which we find ourselves.' Markets are bracing for potential turmoil after the escalating tension between Israel and Iran, which saw missiles being fired at sites in both countries. More Trending The tension could have an impact on oil prices. Meanwhile, the UK job market is seeing wage growth ease heading into April, while the unemployment rate grew as employers faced higher costs. Rob Wood and Elliott Jordan-Doak, economists for Pantheon Macroeconomics, said the weaker job market could be a factor in reassuing the Bank of England's committee that 'it can plan on further rate cuts.' View More » But they said one month's fresh data 'is far from enough to allow the MPC to bin its gradual and careful approach to easing monetary policy.' Get in touch with our news team by emailing us at webnews@ For more stories like this, check our news page. MORE: 5 forgotten items in your attic that could be worth over £11,000 MORE: Credit card customers can save up to £1,679 with a simple debt 'spring clean' MORE: I've got 'number dyslexia' – but I'm a financial expert Your free newsletter guide to the best London has on offer, from drinks deals to restaurant reviews.
North Wales Chronicle
a day ago
- North Wales Chronicle
UK interest rates predicted to stay at 4.25% with Bank ‘nimble' amid uncertainty
Most economists think the Bank of England's Monetary Policy Committee (MPC) will opt to keep rates on hold when it meets on Thursday. The MPC has voted to cut rates at every other meeting since it started easing borrowing costs last August, from a peak of 5.25%. This has been possible while the rate of UK inflation has been steadily falling from the highs reached in 2023, at the peak of the cost-of-living crisis. However, inflation jumped to its highest level for more than a year in April, according to the latest figures from the Office for National Statistics (ONS). Consumer Prices Index (CPI) inflation hit 3.5% in April, up from 2.6% in March. Since releasing the data, the ONS said that an error in vehicle tax data collected meant the April figure should have been 3.4%. Ellie Henderson, an economist for Investec, said monetary policy 'seems to be in a good position, allowing the Bank of England to wait and see how economic conditions and the international political backdrop evolve'. 'Ultimately, this is a highly uncertain time that requires a potentially nimble response from central banks, limiting any great foresight,' she said. 'Although the June decision might seem clear cut, how the MPC responds to the evolving economic backdrop thereafter much depends on the details of the world in which we find ourselves.' On Friday, oil prices were soaring after Israel launched an attack on Iran's nuclear programme, raising anxieties about possible disruption to the supply of the commodity in the Middle East. And ongoing uncertainty over US President Donald Trump's tariffs, which surveys suggest have dampened business confidence and reduced exports, also remains in focus for policymakers. Meanwhile, new official figures showed wage growth for UK workers eased sharply in the three months to April and the unemployment rate increased, as employers feel the effects of higher costs. Rob Wood and Elliott Jordan-Doak, economists for Pantheon Macroeconomics, said a weaker jobs market 'will reassure the MPC that it can plan on further rate cuts', but added that 'one month's data is far from enough to allow the MPC to bin its 'gradual and careful' approach to easing monetary policy.' Bank chief economist Huw Pill, who is also an MPC member, said last month that he thought rates had been cut too quickly partly due to the risk of 'stubbornly strong' pay growth on overall inflation. New UK inflation figures for May will be released on Wednesday, while the US central bank is also widely expected to keep its interest rates on hold.
