As does everyone’s who is on higher rate tax. Just watch what happens in the October budget, I predict that higher rate tax payers (I am one but ex railway) will have their tax relief on pensions reduced to 30 rather than 40% (full) relief. That means a Driver’s take home pay will fall so the Government can put money into things like, NHS, railways etc. Gordon Brown did a pension raid back in the day by changing the tax relief for private pensions by effectively taxing dividends pensions funds received. It devastated the pension industry which, by its very nature, must be able to plan 10, 20 years forward. Changes to taxation of pensions is totally destabilising, it seriously affects people’s retirement.
I’ve noted some comments about the triple lock on pensions. It’s effectively a double lock, the 2% only kicking in if average earnings or inflation are below that. The essence of the idea was to progressively improve to plight of pensioners who had been neglected for years (anyone remember Gordon Brown’s 75p a week rise?)! It’s not sustainable long term but it is serving a purpose. And don’t forget that when you (collectively and me) will benefit in our own retirement from the compound effect.
Glad you have been made a reasonable offer, I’m ex railway, pro railway and passionate about the industry and its staff. I haven’t posted on this forum for ages but felt the need to give a balanced view to the original comment of “40% going back to the treasury”.