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As life expectancy at retirement increases the NDC annuity formula becomes less generous, which cuts the value of pensions.
The value of pensions is shrinking, and charges for services such as health care are likely to increase.
The real value of pensions, which is linked to the official minimum wage, has doubled over the past 13 years.
By unilaterally switching the indexation from RPI to CPI, the government has already stripped up to 20% off the value of pensions at a stroke.
He cites the raising of the personal allowance and the increasing of capital gains tax and refers to the "triple lock" designed to protect the value of pensions.
Groups campaigning on behalf of the elderly believe this will lead to a reduction in the value of pensions in real terms.
Similar(35)
But if the currency is plunging, the underlying value of pension pots will decline.
In addition, $604,698 in pay stemmed from an increase in the value of pension assets.
This will reduce the present value of pension promises and make public sector pensions look much more affordable.
July 2001: Equitable Life announces it is reducing the value of pension policies for with-profits policyholders by about 16%.
Another significant concession is protecting the value of pension benefits that employees have accrued thus far in their career.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com