... withdrawn from the market. Annuities specially designed to fund care fees and which recognise reduced life expectancy do provide a solution for some, but access to advice at a time of crisis may be difficult. Equity release or lifetime mortgages are popular but are not being used as a way to fund care. The current pensions ‘crisis’ bears many of the same hallmarks as those relating to long-term care planning. As with the Pensions Commission Report, there does not appear to be one single solution to the problems surrounding long-term care. A combination of measures may be more likely to succeed.
Long-term care provision in the United Kingdom has been the subject of much debate and analysis over the past decade, yet the issue of how to fund the cost of that care for future generations remains unresolved. Much of the debate has revolved around how the State should address the problem. As a consequence, the general public are unsure as to where their responsibilities and liabilities lie. There is a perceived unfairness around the current system which leaves significant financial responsibility resting with the individual above basic income and asset levels. Insurance plans designed to cater for the cost of care in later life have not been popular. As a result, most insurers have now withdrawn from this market.Investment-based plans have failed to maintain protection levels and have now also been withdrawn from the market. Annuities specially designed to fund care fees and which recognise reduced life expectancy do provide a solution for some, but access to advice at a time of crisis may be difficult. Equity release or lifetime mortgages are popular but are not being used as a way to fund care. The current pensions ‘crisis’ bears many of the same hallmarks as those relating to long-term care planning. As with the Pensions Commission Report, there does not appear to be one single solution to the problems surrounding long-term care. A combination of measures may be more likely to succeed.
Subject terms:
long term care, older people, pensions, planning, financing;
A shift is occurring in British government policy from State planning to individual planning. This emphasis on individual planning makes assumptions about people's capacity to plan for the future; in particular, it assumes that people have similar capacities to plan ahead. In-depth interviews with 41 people of different ages and social groups by the researchers at the University of Bath explored people's views on and current plans for their future lives. Presents the findings.
A shift is occurring in British government policy from State planning to individual planning. This emphasis on individual planning makes assumptions about people's capacity to plan for the future; in particular, it assumes that people have similar capacities to plan ahead. In-depth interviews with 41 people of different ages and social groups by the researchers at the University of Bath explored people's views on and current plans for their future lives. Presents the findings.
Subject terms:
pensions, planning, social policy, ageing, attitudes;
Social Policy and Society, 6(3), July 2007, pp.279-292.
Publisher:
Cambridge University Press
This paper considers activation policies in relation to older workers in a number of OECD countries. It explores four interpretations of ‘activation’ in respect of pension planning and retirement policies. However, activation policies need to be carefully evaluated. Labour market demands and a political language that stresses the ‘pension crisis’ and the ‘dependency ratio’ have to be considered in relation to established rights. Thus whilst governments may seek to promote a model of welfare based on the ‘consumer citizen’, in which retirement choices are made by reflexive individuals, the constraints on choice need to be highlighted. These constraints are likely to be unevenly distributed with some social groups experiencing longer working lives, less choice, with more compulsion and with conditions attached to any pension rights they may claim.
This paper considers activation policies in relation to older workers in a number of OECD countries. It explores four interpretations of ‘activation’ in respect of pension planning and retirement policies. However, activation policies need to be carefully evaluated. Labour market demands and a political language that stresses the ‘pension crisis’ and the ‘dependency ratio’ have to be considered in relation to established rights. Thus whilst governments may seek to promote a model of welfare based on the ‘consumer citizen’, in which retirement choices are made by reflexive individuals, the constraints on choice need to be highlighted. These constraints are likely to be unevenly distributed with some social groups experiencing longer working lives, less choice, with more compulsion and with conditions attached to any pension rights they may claim.
Subject terms:
older people, pensions, planning, retirement, social welfare, choice, government policy;
62 per cent of 45-65 year olds have made no plans for their care, with one in five admitting they feel that ‘life is too short’ to worry about something which may not happen. The survey, conducted highlights widespread confusion among those approaching retirement age. Almost half believe that the Government will contribute in some way towards their care needs, with one in ten 61-65 year olds optimistically believing the State would pick up the bill for all of their future care costs. Well over half (55 per cent) believe that should they need a place in a care home one day, their basic state pension of £84 will cover the £400 a week average cost.
62 per cent of 45-65 year olds have made no plans for their care, with one in five admitting they feel that ‘life is too short’ to worry about something which may not happen. The survey, conducted highlights widespread confusion among those approaching retirement age. Almost half believe that the Government will contribute in some way towards their care needs, with one in ten 61-65 year olds optimistically believing the State would pick up the bill for all of their future care costs. Well over half (55 per cent) believe that should they need a place in a care home one day, their basic state pension of £84 will cover the £400 a week average cost.
Journal of Social Policy, 34(2), April 2005, pp.235-253.
Publisher:
Cambridge University Press
Place of publication:
Cambridge
Selectivity emerged as the core of a new social policy paradigm in Greece when a new ‘modernising’ government took office in 1996. Though it was adopted energetically, its real impact eventually proved negligible, except for an initial flutter of activity. The article argues that its failure as a recipe for welfare reform was inevitable. The nature of social protection arrangements in Greece severely constrained the scope for selectivity, while the particular version pursued was poorly designed and badly administered. Moreover, the elevation of selectivity to the status of a ‘Big Idea’ was an indirect cause of serious lateral damage: while fruitlessly puzzling over the place of selectivity in the ‘new social policy’, the government was losing the crucial battle on the reform of an unviable and inequitable pension system. The article concludes that selectivity has little relevance to the priorities for reform in a welfare state still struggling to cope with its Bismarckian, south European contradictions.
Selectivity emerged as the core of a new social policy paradigm in Greece when a new ‘modernising’ government took office in 1996. Though it was adopted energetically, its real impact eventually proved negligible, except for an initial flutter of activity. The article argues that its failure as a recipe for welfare reform was inevitable. The nature of social protection arrangements in Greece severely constrained the scope for selectivity, while the particular version pursued was poorly designed and badly administered. Moreover, the elevation of selectivity to the status of a ‘Big Idea’ was an indirect cause of serious lateral damage: while fruitlessly puzzling over the place of selectivity in the ‘new social policy’, the government was losing the crucial battle on the reform of an unviable and inequitable pension system. The article concludes that selectivity has little relevance to the priorities for reform in a welfare state still struggling to cope with its Bismarckian, south European contradictions.
Subject terms:
pensions, planning, politics, social policy, welfare state, benefits;
This study, by Steven Nesbitt and David Neary at the Department of Applied Community Studies, the Manchester Metropolitan University, looked at the ability of Bangladeshi, Pakistani and white men living in Oldham to make informed choices between alternative forms of second tier pensions provision. Attention was given to respondents' levels of knowledge of the alternative types of pension, the values underpinning their ideas on pensions and their expectations for retirement.
This study, by Steven Nesbitt and David Neary at the Department of Applied Community Studies, the Manchester Metropolitan University, looked at the ability of Bangladeshi, Pakistani and white men living in Oldham to make informed choices between alternative forms of second tier pensions provision. Attention was given to respondents' levels of knowledge of the alternative types of pension, the values underpinning their ideas on pensions and their expectations for retirement.
Subject terms:
income, older people, pensions, planning, retirement, South Asian people, decision making;
Research report looking at how people over state pension age, and with assets of not more than 20,000, manage their money. Examines factors influencing financial plans and decisions in retirement, including personal circumstances and attitudes towards: debt, leaving an inheritance, maintaining independence, claims for state benefits, and use of assets such as house equity. Based on in-depth interviews with 52 pensioners.
Research report looking at how people over state pension age, and with assets of not more than 20,000, manage their money. Examines factors influencing financial plans and decisions in retirement, including personal circumstances and attitudes towards: debt, leaving an inheritance, maintaining independence, claims for state benefits, and use of assets such as house equity. Based on in-depth interviews with 52 pensioners.
Journal of Social Policy, 33(3), July 2004, pp.347-371.
Publisher:
Cambridge University Press
Place of publication:
Cambridge
... for state pensions is to restore something closer to a flat rate state pension, but with significant complexity. The article suggests a way in which a more transparent system could guarantee a total state pension at a fixed percentage of average earnings. Other National Insurance benefits could either be separated from pensions and absorbed within other working age social security, or the scope
This article discusses the implications of the decline of National Insurance in Britain, witnessed by its declining share of social security spending and steady dilution of the ‘contributory principle’ on which it was originally based. This decline is not accidental: under governments of the Left, arguments for inclusion have predominated, non-contributory benefits expanded and contribution conditions softened; under those of the Right, limited resources have been focused on the poorest through means-testing. From this starting point, the strong arguments in principle for social insurance look much weaker. However, there are also reasons why the system has not been swept away, notably the way in which most of it concerns already accrued state pension rights. The effect of current plans for state pensions is to restore something closer to a flat rate state pension, but with significant complexity. The article suggests a way in which a more transparent system could guarantee a total state pension at a fixed percentage of average earnings. Other National Insurance benefits could either be separated from pensions and absorbed within other working age social security, or the scope of National Insurance could be maintained, but based on a test of participation, not past contributions.
Subject terms:
income, pensions, planning, retirement, social policy, taxation, economics, employment;
Today's pensions landscape looks better than yesterday's on average. But pensioner poverty remains, and there are no signs that tomorrow's landscape will look any brighter. To avoid the risk that tomorrow's pensioners are worse off than today's, reform of state pension policy has to be debated. Pensioners' incomes have risen, but so has the gap between the richest and the poorest. Private pension income makes the difference between rich and poor pensioners. A quarter of pensioners are in relative poverty. Typically, older pensioners are poorer, as are women, people from ethnic minorities and those who have been self-employed. To avoid the risk that tomorrow's pensioners are worse off than today's, reform of state pensions policy should be debated now.
Today's pensions landscape looks better than yesterday's on average. But pensioner poverty remains, and there are no signs that tomorrow's landscape will look any brighter. To avoid the risk that tomorrow's pensioners are worse off than today's, reform of state pension policy has to be debated. Pensioners' incomes have risen, but so has the gap between the richest and the poorest. Private pension income makes the difference between rich and poor pensioners. A quarter of pensioners are in relative poverty. Typically, older pensioners are poorer, as are women, people from ethnic minorities and those who have been self-employed. To avoid the risk that tomorrow's pensioners are worse off than today's, reform of state pensions policy should be debated now.
Journal of Social Policy, 31(4), October 2002, pp.623-642.
Publisher:
Cambridge University Press
Place of publication:
Cambridge
Over the last twenty years, policy-makers have placed increasing emphasis on individual planning, particularly in relation to pensions. Planning for one's own future, and that of one's family, is increasingly upheld as a morally responsible activity. This article explores the assumptions made by policy-makers in this area. It begins with a discussion of how the rhetoric from policy-makers
Over the last twenty years, policy-makers have placed increasing emphasis on individual planning, particularly in relation to pensions. Planning for one's own future, and that of one's family, is increasingly upheld as a morally responsible activity. This article explores the assumptions made by policy-makers in this area. It begins with a discussion of how the rhetoric from policy-makers and policy-commentators makes considerable reference to individual planning and responsibility. The policies themselves, however, sometimes act as disincentives to make private provision and do relatively little to provide security for people's future retirement. The article then draws on empirical research including recent qualitative findings to emphasise the limited nature of private pension planning and the constraints people face in relation to this activity
Subject terms:
independence, pensions, planning, policy, policy formulation, retirement, social policy, social welfare, decision making, families, ethics, financing;