Cutting the pensions bill

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The Government can make two very simple reforms to cut the massive public sector pensions bill and bring in more revenue.

First, they can set up a review body to examine existing current awards of final-salary public sector pensions and replace them with career average pensions.

Those joining the police since 2006, I believe, have career average pensions.

But those who joined before are on a final salary scheme.

Many may have had a last minute promotion to inspector after a career as a constable and sergeant.

Do we really want a public sector police inspector’s pension paid to someone who might have been in post for one day?

It can still happen.

Secondly, why do we have a separate tax code for every income?

Pensioners with more than one pension are often not being taxed correctly.

How can HMRC currently tell they are dealing with the same person who may have two or more sources of income?

Can this be fixed by using our NI numbers instead?

It is a massive problem for tax gatherers surely, isn’t it?

The Chancellor’s current proposals on taxing contributions alas just discourage saving,

Nigel Boddy,

Fife Road,

Darlington.