Originally Posted by
KerrAvon
The optics of the move are certainly poor, although I've argued on another thread that might have been deliberate (in order to send a message that the government is serious about fiscal responsibility- sadly necessary after Brexit made the UK a less attractive place to invest).
It's certainly true that pensioners have done relatively well in recent years. Certainly better than many of the tax payers who fund government spending.
For me, the only real issue is whether the level of income/capital at which the means test is set is the correct one. The government have chosen to base it upon the test for pension credit (a benefit that tops up the state pension). I would imagine that they have chosen that as opposed to creating a new level of bureaucracy to assess a different test.
In respect of targeting other groups, the Labour Party painted itself into a corner by promising not to raise income tax and national insurance for 'working people'. That was probably necessary in a country that wants high quality public services, but doesn't like paying tax.
I suspect that the budget will bring in changes to 'target' the 'better off' by reducing tax relief on pension contributions for higher earners and tweaking inheritance tax and capital gains tax. Any such changes will also attract outrage in large swathes of the press (that also like to complain about poorly maintained roads and the shortcomings of the NHS etc.).
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