Via BobE, from The Guardian:
The changes [to long term care funding] will be funded by introducing the new single-tier pension in 2016, a year earlier than planned, benefiting an extra 400,000 people. By abolishing the current two-tier pension system, the government will end the system of contracting out, thereby generating an extra £5.5bn for the exchequer in higher national insurance contributions (NICs). This will help to fund the increased costs in social care, estimated at £1bn a year, and the new pension system.
The Treasury, which is sensitive to charges that it massaged the figures at the time of the autumn statement last December to ensure that borrowing did not rise, went out of its way to show how the new single-tier pension will net additional revenues.
More than half (£3.3bn) will come from NICs by public sector employers, £0.6bn from NICs by private sector employers and £1.6bn from employee NICs. Treasury sources insisted this would "not be used as a net revenue raiser for the Treasury".
FFS.
The Treasury (i.e. the government) is going to raise £3.3 billion a year by making the government pay higher NICs for public sector employees?
Are people really stupid enough to not spot that this is figure-massaging on an epic scale?
"The Treasury, which is sensitive to charges that it massaged the figures..."
Info Post
0 comments:
Post a Comment