2 Tier wealth distribution.7 Jan 2025 10:44
UK Debt @ 100% GDP... I believe a few years ago, that the Voters / General Public voted for a smaller state.
I also thought Labour were for the working class to help to equal out the rich vs poor divide. All I see is taking care of mates and constantly milking the system.. How much can the General public be squeezed until we pop ?
The question is, if you or I, were a Civil Servant or MP, would you or I do anything about it ? Maybe not... As I get older, it feels like Crime does pay !
The cost of public sector pensions in the UK is high and has been increasing:
2023-24
The cost of retirement incomes for public sector workers was almost £50 billion, but contributions fell short, leaving a bill of over £2 billion for taxpayers.
2021
The UK's net deficit was £3.8 trillion, with over £2.6 trillion due to public sector pension liabilities.
2021-22
The retirement pot for public sector workers, including doctors, civil servants, and teachers, rose to £2.64 trillion.
2021
The total cost of public sector pensions was £2.3 trillion, which was higher than the UK economy at the time.
The taxpayer is responsible for any shortfall in public sector pension schemes. The government currently receives about 75% of the bill from the four largest pay-as-you-go schemes.
The average employer contribution rate in the public sector is higher than in the private sector. In 2021, the average employer contribution in the public sector was 18% of pay, compared to almost 6% in the private sector.
Funding improvements since 2022 should reduce the liabilities in these schemes and make them more sustainable.
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