Families face forking out more than £1,200 a year to fund Britain’s public sector pensions within five years, according to a report.
To read the full article, visit the Mail Online webpage.
Figures produced by a leading pensions expert for the Centre for Policy Studies show that four out of every five pounds paid into the pensions for public workers will be funded by the taxpayer.
Michael Johnson revealed that the shortfall between public sector contributions and pensions that were already being paid would rise 77-fold in 11 years.
The gap will reach £15.4billion in 2016-17, up from only £200million in 2005-06.
Taxpayers will be left footing most of the total bill of public sector pensions to the tune of £32billion or £1,230 for every household in the country.
Employers will meet the rest, around £17.2billion.
Experts warned that another round of cuts to the scheme would be required before 2020 – a move that would risk another showdown with the unions.
To read the full article, visit the Mail Online webpage.
Read the full report ‘The Approaching Cashflow Crunch’.
Date Added: Monday 5th November 2012
