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STUNELL WINS U-TURN ON MPs' PENSION PLAN

June 29, 2009 11:32 AM

Andrew StunellHazel Grove MP Andrew Stunell successfully called last week for a freeze on tax-payers' payments to the MPs' pension fund, and a sharp rise in MPs' contributions.

The Government backed down after Mr Stunell questioned the moral authority of MPs to tighten up other public sector pension schemes unless they were ready to trim their own, arguing that "It is no good taking splinters out of other people's eyes when we have planks sticking in our own," .

The government planned to top up the scheme with taxpayers' money after a £20 million 'black hole' was reported. However, after a string of MPs backed a Liberal Democrat amendment to freeze the contribution from the Treasury ministers did a quick u-turn.

Commenting, Andrew Stunell said:

"This was undoubtedly the right thing to do, and I'm pleased that the Liberal Democrats' motion, and sanity, has prevailed.

"The government's proposal didn't recognise that if they have any plans to change other people's pensions for the worse, they have to start by sorting out the MPs' scheme first. No one doubts that because of our deteriorating economy changes will have to be made. I just argued that they should start at the top, not the bottom. Just for once they have listened.

"It simply wasn't right to expect the tax payer to put more money into MPs pensions, when so many of them are finding themselves unemployed, or discovering their own pension schemes are inadequate, under-funded, or already raided by the Treasury.

"Despite the government clearly not getting it the first time, their u-turn will deliver the right result in the end."

ENDS

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