Oral Answers to Questions

Patrick Grady Excerpts

Monday 6th March 2023 Commons Chamber

[Mel Stride]

I am very surprised to hear the hon. Gentleman pose that question, first, because of his party’s record on this matter when they were in government; and secondly, because of the clear progress that I have outlined to the House today and on previous occasions about the increase in take-up that the Government are securing.

[Patrick Grady (Glasgow North) (SNP)]

2. What assessment he has made of the potential impact of increasing the state pension age on trends in the level of pensioner poverty.

[The Secretary of State for Work and Pensions (Mel Stride)]

My review of the state pension age is under way. The review will consider a wide range of evidence, including two independent reports, to assess whether the rules on pensionable age remain appropriate.

[Patrick Grady]

I hope that the evidence that the Secretary of State examines includes analysis by Age UK that 1.5 million pre-state pension age households have no savings at all. Age UK warns that accelerating the rise of the state pension age

“will condemn millions to a miserable and impoverished run up to retirement”.

Instead of risking that increase in pensioner poverty, should he not establish an independent pensions and savings commission to ensure that pension policies are fit for purpose and reflect the demographic needs of different parts of the United Kingdom?

[Mel Stride]

The two reports to which I have just referred are independent—from the Government Actuary’s Department, on matters such as life expectancy; and from Baroness Neville-Rolfe, on the metrics that should be taken into account in determining when the next increase in the state pension age should occur. We certainly take into account issues such as pensioner poverty, on which we have an excellent record. In fact, relative pensioner poverty before housing has halved since 1999, and there are 400,000 fewer pensioners in absolute poverty—that is before or after housing—compared with 2009-10.