Public sector pensions will be '80% taxpayer-funded' by 2016

A CPS report, authored by research fellow Michael Johnson, found the funding shortfall for schemes is projected to reach £15.4bn by 2016-17. When added to the £17.2bn employers' contribution this amounts to an annual taxpayer liability of more than £32bn - or £1,230 for every UK household. By this point, £4 of every £5 paid to pension members will be funded by the public purse. Johnson argued further significant reforms are needed before 2020 as those included in the Public Sector Pensions Bill will not produce significant savings for between 20 and 30 years. He called on the coali...