Withdrawing MP Pensions

This blog's campaign (eg here) to get a political party to adopt a policy which will withdraw the pensions of all MP elected since John Major's election victory and the next election is certain to gather ever more support and eventual success as the scandal of their allowances continues and cuts in private pensions such as those announced this week for 5000 AON employees become more widespread. This will ensure the removal from power of the three main political parties unless they adopt a policy on pensions very close to this total cut. Jeff Randall in the Daily Telegraph, once again writes and comments as if he is a daily reader of this blog, I quote:

....Nowhere is this more evident than in – brace yourself – MPs' pensions. On top of all their treats, including free bath plugs, chintzy lamps and Sky dishes, they benefit from a pension scheme, the generosity of which amazes many who are in it. One former MP told me: "I have a Westminster pension, which to be honest, given what I did to earn it, is not far short of a scandal."

The MPs' scheme is among the most lavish ever devised. It is paid for through modest contributions from members and a handsome top-up from the Treasury. Even so, the Financial Times discovered this week that, applying accounting standards used in the private sector, the MPs' fund has a shortfall of nearly £230 million.

For mere mortals, this would be worrying, raising the spectre of hardship in old age. No such concerns for MPs, however, because you and I are going to fill the hole. We will be compelled to shovel in more cash. No wonder the trustees are relaxed. Yes, not content with taxpayer-funded second homes, televisions the size of double duvets, and subscriptions to red-hot movies, parliamentarians will henceforth enjoy an increase in the exchequer's donation to their pension pots from 27 per cent to 32 per cent of an MP's salary.

It's tempting to say that this cannot go on. Unfortunately, it can – and probably will. The gravy train is being driven by its beneficiaries. Devoid of shame, they have no motive for unloading unseemly perquisites. The Prime Minister has ordered a review of MPs' pensions, which is due to report this year, but who really believes that meaningful cut-backs will be accepted?

Read the entire column, linked here, for it concludes with some refreshing news from Ireland.