Brexit Endangers UK State Pensions

News


15 Jun, 2016

Brexit Endangers UK State Pensions

British state pension increases and ring-fenced heath spending would be in danger if the public decides to vote for a Brexit in the upcoming EU Referendum, Prime Minister David Cameron warned in an interview.

As multiple polls recently showed that the majority of British people were in favour of leaving the European Union (EU), better known as a Brexit, Cameron said that voters needed to face the "cold reality" of the austerity that would be required if the U.K. was outside the EU.

Mr Cameron referred to research by the Institute of Fiscal Studies and the National Institute for Economic and Social Policy that showed the Brexit would create a black hole of up to 40 billion pounds in U.K. public finances by 2020.

"You would have to start cutting things that people really value, whether it is the money going to the NHS or whether it is support for our pension system, and that could mean reviewing the triple lock," David Cameron said in an interview.

The "triple lock" referred to a guarantee that the state pension would rise annually in line with whichever was higher: earnings, inflation or 2.5%.

Stay up to date with the latest EU Referendum news!