The number of public sector pensioners who are retiring with incomes over £100,000 has more than tripled over the past seven years - but at what cost to younger generations?
The Intergenerational Foundation (IF) obtained figures that revealed pension schemes covering the civil service, the teaching profession, and the NHS paid six-figure incomes to 375 retirees last year, which was up from 117 in 2010. Furthermore, the percentage of retirees earning a pension higher than the UK average annual salary (approximately £28,600) also increased by 46%.
Angus Hanton, the co-founder of IF, noted that the figures exclude the state pension, meaning that many more public sector retirees are likely earning above the average wage than the figures show.
Mr Hanton said that governments had traditionally sought to protect people close to retirement while ignoring the fact that the younger generations’ pensions will be significantly less generous.
He pushed for ministers to consider withdrawing the state pension for retirees on high incomes.