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Pension reforms to keep over-50s in work are being considered as Jeremy Hunt examines the idea of raising the lifetime allowance to lure back early retirees
In speech yesterday, he called on older people to help ease labour shortages
Hunt: 'We will look at the conditions necessary to make work worth your while'

By JASON GROVES POLITICAL EDITOR
PUBLISHED: 22:55, 27 January 2023 | UPDATED: 01:24, 28 January 2023

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My take.

Minister’s might like to look at the reasons so many workers are falling out of the workforce long before the official government retirement date.

First of all , a good 10% are dead by that age. Next up health, without even looking at the poor souls who have been inflicted with conditions not of their own making, we have tens of millions of smokers, drinkers , drug takers, to name a few, however the massive coverup comes from the extra weight, 2/3 of the population carries around their skeleton.

Most, but not all of the nation have unfortunately become slobs in my personal opinion, the toll on the human body as a result, is crippling for the individual, and the state.

What’s even worse, is it’s taken just 50 years for the 2/3 of the population to get that fat. The generation that’s now leaving school has managed it , in just 16 years. ! The future implications and misery has unfortunately yet to register.

Don’t even attempt to solve the problem at age 50- 65 , failure rates at that age runs into the high nineties.

Finally a good portion of those leaving the workforce can well afford to do so, private pension, (drawn at 55, ) inheritance, and home equity are the enablers.

Tax on my personal SIPP pension is paid at the standard rate as if I was working.
If I hit my target of a 100 fold increase in my pension pot , and draw out large amounts, tax will be payable at 45%.

I personally think that’s about right , putting back into society, cash for schools and hospitals, that has been produced through investment, (not hard graft.)

In a country so grossly unequal, nothing is fair. As the government plans to raise the state pension age from 66 to 68 at a much earlier date than previously announced, it looks increasingly unjust to pay out the pension at the same rate and at the same age for everyone, regardless of wildly differing circumstances.

A universal state retirement age means wealthy people will receive payments for many years more than the poor. The tyranny of averages conceals vast social class differences within Britain. Men in Richmond-on-Thames will, on average, live healthily until the age of 71, while for men in Blackpool, a healthy life expectancy is just 53 years, meaning they will wait in bad health, unable to work for 13 years, before qualifying for their pension at 66. In Blackpool’s Bloomfield ward, reports LancsLive, the average life expectancy of men is just 67 years and three months. That means many will never make it to drawing a pension if the government’s plan goes ahead. Prof Sir Michael Marmot, whose groundbreaking research analyses the effect of poverty, deprivation and deadening jobs on health and longevity, tells me: “If 68 becomes the new pension age, 60% of men never reach that age without a disability that prevents them working

I absolutely totally disagree with the last paragraph in this article.

The clever way in my opinion, to save for a pension is explained in the fist few posts on this thread.

The pension industry want to make you a slave for life. !!

January 26, 2023
Rules to help you plan for retirement
Val Cipriani

There isn’t a one-size-fits-all rule for how much you need to save to retire in comfort. Retirement planning is based on a number of factors, and making a plan based on your personal circumstances is the most accurate way to go about it. How early you start saving, how you invest and what retirement strategy you pick are just some of the many variables that play a part.

But there are a few ways to get at least a preliminary idea of what income you should aim for, how big a pot you might need to generate that income and how much you should save every year to amass that pot.

Jason Hollands, managing director at Evelyn Partners, says people typically aim for somewhere between half and two-thirds of their final salary as their retirement income. By the time they retire, many people have paid off their mortgage, and their children are financially independent, so their expenses are lower. The state pension should also cover at least a portion of them, while the same level of gross income goes further because you are older.

How big a pension pot should you aim for?

Once you have worked out how much you need after the state pension, you can do some maths on how big a pot to aim for. Michael Law, paraplanner at JM Finn, says an easy way to do this is to multiply your planned expenditure in retirement by 25, which should give you the size of pot you need to be able to safely withdraw 4 per cent a year. For example, if you estimate you will spend £25,000 a year on top of the state pension, you will require a retirement fund of £625,000. Unless your investments perform poorly or you live to a very old age, following this rule should enable you to leave some of your pension pot to your children.

A good way to amass a sizeable pension pot is to contribute half your age as a percentage of your earnings every year when you start making contributions – 10 per cent of your gross salary when you are 20, increasing to 15 per cent when you are 30 and so on, including employer contributions.

?Why I personally believe Triad Group Plc is the one single stock, that will enable me to achieve my target, of increasing my pension pot 100 fold, within 20 years. ?

I have 2 years 7 months to go.

For success one requires rock solid foundations, that can be purchased today, for peanuts, before other investors cotton on, and push the price higher.

A: Triad group has spent the last 3 years slowing changing its business model , dumping low margin work, using contractors, in favour of permanent full time staff, producing high margins. That has now been achieved.

B: Triad Group has recently been extremely successful in winning positions on U.K. government framework agreements. These are public knowledge, reported in the Triad accounts, and found on various government web portals. I have calculated that if Triad won its weighted portion of the contracts on offer, it would amount to approximately £100M. Time will tell , how successful Triad are at winning a chunk of that, it’s absolutely possible that they could exceed their fair share of this government spend.
To put that amount of potential into context, last year Triad had revenues of £17M of which one third came from the private sector. Other revenue was received from government frameworks, that, due to security issues, are not published. ( These are not included in my £100M potential of orders because I have no idea of the size of those frameworks.)
I estimate around ten million of known framework contracts were in the last set of Triad accounts. ( revenue ).
As you can ascertain, it is entirely possible that £10M could grow to £100M in very quick order, if Triad wins its share of the framework contracts on offer.

C: Todays market cap, less the cash on the books, is around £13M. Based on Triad winning contracts and revenues increasing, profits could zoom ahead very substantially, way faster, than the average share within its sector.

D:Triad announced last week that the company was expecting a very strong final quarter and was positive on the new financial year that starts on April 1st. It appears they are gaining the required traction , right now.

E: Consistent Director buying over the last 18 months.

F: Previous trading loses will reduce the corporation tax bill to zero this year and almost definitely next year as well.

G: Virtually all fast growth Technology companies require massive forward investment that prevents large dividends being awarded to shareholders. Triad on the other hand, can potentially grow super fast AND grow dividends at pace. It’s this combination that can, and does, produce explosive growth in share prices.

H : SME built - in advantage :

To sum up.

My task would be impossible to attain if I has chosen a basket of shares, to reduce perceived risk.
Single share investment is seen by many, as super high risk.
I take the opposite view.
To date it’s been extremely successful for growing my pension pot.

Wed 25 Jan 2023 14.23 GMT

The UK state retirement age could rise to 68 by the end of the 2030s, reports this week have claimed – prompting headlines about millions having to work longer and many being condemned to “misery and poverty”. But what is actually going on?

What has been announced?
Nothing – as yet. An article in the Sun claimed the UK state pension age (SPA) is likely to rise to 68 sooner than many had expected. At the moment, nothing has been confirmed, but we should know more within a few months, possibly weeks.

The government is duty-bound to regularly review the SPA, and it is understood it must publish the results of the latest review by 7 May this year – but the Sun reported that the chancellor, Jeremy Hunt, was looking at announcing the move as early as the 15 March budget.

It claimed the Treasury wanted the change to 68 to come in as early as 2035 – affecting those who are 54 and under today. Some have talked about the change possibly taking effect in 2034.

If I am to achieve my goal of increasing my pension 100 fold in 20 years, I require a share that can deliver through thick and thin.
It has to grow profits at a far greater rate than the 7% average across the stock market.
I like to target 30% per year, ( this will not be exact or even each year, but a sensible ball park number.)

Few listed companies have the ability to grow that fast, more so if this is being attempted without using debt, ( that adds a layer of risk, that I am unprepared to take.).

Throw in a high dividend yield, and all being well, any company that can produce this combination should be rewarded by the market with an increasing share price.

The starting point for this potential success is a low valued market cap company , small companies can grow much faster than large ones.

Absolutely nothing is guaranteed, investment is a risk game , all one can do is try to reduce that risk through research PRIOR to potentially investing in any stock.

Tomorrow I will offer my personal reasons I believe Triad Group Plc will shine going forward.

?Understanding share , Market capitalisation’s.

The Market Cap (or valuation) of any given share is the share price, multiplied by the number of shares in issue.

Share options have a slight effect, because while not on the share register today, if they get exercised in the future, they will be.

A great many investors don’t understand that one needs ALWAYS to focus on the Market. Cap, NOT the share price.

Shares in different companies could, by example, be valued at 2P with billions of shares in issue.

Another company may have a share price of £21.00 but only a few thousand shares in issue.

However they could both have the same Market Cap.

My single share investment Triad Group Plc has around 16.5M shares and a Market cap of £17.3M Pounds.

This needs to be adjusted for debt, and cash held on the books.

In the case of Triad the group has net cash of £4.3 Million pounds.

That amount gets deducted off the market cap to deduce the the companies actual value.

If Triad had debt of £4.3M pounds it would need to be added onto the market cap.

Investing experience has taught me ,safety, is extremely important.
Putting all your eggs in one basket, ( my investing policy ),has the downside of you being cleaned out, if all goes terribly wrong.

Dividends.

My single share investment, Triad Group Plc, has enough cash to pay the current 6P yearly dividend,( producing 5.5% yield ), at todays share price, for the next 4 years. Even if the company only breaks even during that time period.
After four years the company would still be debt free.
That safety net, is of huge value, to potential and current investors

Demographic change in Germany is becoming more and more visible. According to new estimates from the Federal Statistical Office (Destatis), the number of people above retirement age in Germany is expected to rise by 22 percent by 2035.

46 pensioners for every 100 working people by 2035
Destatis said that the number of people aged 67 and over in Germany will increase by 22 percent between 2020 and 2035, from 16 million to more than 20 million. They calculated this from the results of a medium-term population projection that looked at how pandemic-related changes could influence the pace of demographic change over the coming years.

Current calculations show that the ratio of retirement-age people (67 years or older) to people working (aged 20 to 66 years) will shift considerably in the future. Depending on the level of net migration, by 2035 there could be as many as 46 people aged 67 and over for every 100 people aged between 20 and 66. In 2020, this so-called “old-age quotient” was 31.

Those that believe the EU has a better pension system would do well to read this


The German public pension is a so-called pay-as-you-go system which means that current employees pay for current retirees. Therefore the pension will deteriorate as the number of pensioners will grow rapidly compared to the number of working contributors.

This is interesting and unknown by most :

It’s the amount of cash put aside , for private pensions ( not state).

It basically means most other countries are totally relying on todays taxpayers, footing just about all the costs, for all pension pension provision.

Most U.K. workers will have at least some private pension, to supplement the state pension .

Look to the OECD numbers on this. As well as the much-quoted numbers on basic state pensions, the OECD also looks at the level of pension assets in each country and at those assets as a percent of GDP. In the UK, that number is 117%. In Italy is it 9.7%, in France 11.1%, in Germany 7.8%, in Greece 1% (yes, really), in Portugal 11.4% and in Ireland 34%. In Australia, which got started on auto-enrollment before the UK, it is 146%. Seven countries in the OECD are responsible for more than 90% of its pension assets in absolute terms — the UK is second on that list after the US.

Those who have read my thread, from the beginning, will have picked up on the importance of having cash on the balance sheet, of any company, prior to your investment.

Safety :

Fortunately for myself, the benefit of this came into play last summer , when the U.K. government spending decisions stopped dead for months.

Triad group plc, my single investment, found itself in a position where the pipeline of orders, stood still, and did not progress.

This resulted in a £400,000 first half loss ( April through September).

Still leaving a net £4.1M cash on the balance sheet going forward .

The company informed shareholders on Dec 1st that the second half had started well ,as contract wins , and bidding activity, has at last, come through.

This week the chairman updated again ( see my previous post ).

Predicting a VERY STRONG 4th quarter.

The single stock, that I hope will enable me to hit my pension goal of 100 times, my original investment, over 20 years, has issued this statement today.

I have 2 years 8 months remaining.

Triad Group Plc
18 January 2023

Legal Entity Identifier (LEI) No. 213800MDNBFVEQEN1G84



Triad Group Plc
Trading Update

In my Chairman's Statement dated 30 November 2022, I said

"I am also delighted to say that the beginning of our second half year has seen a strong upturn in levels of new business wins and bidding activity."

I continue to be delighted at the speed and vigour of our recovery from the extraordinary delays (not of our own making) we experienced for a period of several months during the summer of 2022. Now that the Christmas holidays are behind us, we are looking forward to a very strong fourth quarter, which I am confident will be the basis for a successful following year.

Dr J C Rigg

Executive Chairman, Triad Group Plc

18 January 2023

The scandal dates back to 2017 and 2018 when members of the plan transferred defined retirement benefits to a riskier arrangement following a restructuring prompted by Tata Steel.

Around 54% of transfer recommendations by financial advisers were unsuitable, the FCA said, exposing members to losses in retirement funds.

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The reason I personally don’t trust any financial advisor.

Financial watchdog reveals £49m pay-out over British Steel pension scandal

UK NewsPublished: 4 hours ago

The Financial Conduct Authority (FCA) said more than 1,000 former British Steel Pension Scheme members are set to receive redress payments.

Pensioners forced to raid retirement funds to rescue cash-strapped families

Pensioners are being forced to raid their retirement funds early in a desperate bid to help support their families through the cost of living crisis, research has warned. The study followed government figures which showed 500,000 people withdrew £3.6billion from their pension pots in the three months to June this year alone.

Stat Attack

New research conducted by Cicero/amo, commissioned by 7IM, shows that almost a third of retirees in the UK would have taken a different approach to their retirement income planning if they could do it all over again.

32%

1 in 3 UK retirees would make different financial decisions about their retirement pots if they could go through the process all over again

30%

Would ensure they have greater guarantees on their income

20%

Would take less from their savings in cash upfront

20%

Would look for a tax-efficient approach

19%

Would opt for greater flexibility

More:

Taxpayers face a 150pc jump in public sector pensions costs, as double-digit inflation prompts the biggest pay rise for retired public servants in a generation.

The cost of paying the “gold-plated” pensions is forecast to more than double over the next three years alone, thanks to a rule which dictates all retired Government workers receive a pay rise every spring in line with the previous September’s inflation.

The Treasury is expected to spend £3.3bn on retired public servants’ pay in the 2022/23 tax year, rising to £6.2bn in 2023/24 and then £8.2bn in 2024/25, according to documents from the Office for Budget Responsibility published alongside the Autumn Statement this week. It represents an increase of 148pc over the next three years.

Telegraph reports today , the cost of U.K. government staff pensions will increase 150% over the next 3 years.!

Yes : you have read that correctly, 150%. Not 15%.