Single-tier pension implementation to cost £265m

The government published its white paper on state pension reform earlier this week, proposing a flat-rate pension of £144 per week for everyone with 35 years of National Insurance (NI) contributions from 2017. In the Department for Work and Pensions' impact assessment of the reform it said the administration cost of introducing the new system will be about £265m. It also said overall exchequer spending on state pension is due to rise as a proportion of GDP from 6.4% in 2017 to 8.5% by 2060 under the old system, and projected the alternative cost in 2060 under the new system at 8.1% of...