A FEW weeks ago, Socialist Challenge drew attention to the Tory government's attack on children and young people. But Thatcher and her crew do not discriminate on grounds of age when it comes to attacking the working class. Old age pensioners are going to be hard hit as a direct result of deliberate goverment financial policy — quite apart from sharing in the hardships caused by cuts in welfare and social services, hospitals, etc.
In his last budget, the Tory Chancellor announced that pensions would be increased by 16.5 per cent in November — an increase of £3.85 for a single person and £6.15 for a couple. Inflation is currently running at 21 per cent.
What does this actually mean? Reg Prentice gave the answer in reply to a question from Ernie Ross MP: 'On the basis of movements in the retail price index from Dec '79 to June '80, the value of the pension has fallen by 11 per cent from £23.30 to £20.99 for a single person, and from £37.30 to £33.61 for a married couple.' (Hansard, 29 July)
But this is not all. This year pensioners will receive their annual increase two weeks later than usual. The delay will save the government £65m, but it will mean each pensioner being £7.40 worse off. In other words, pensioners will be contributing that amount toward their Christmas 'bonus' of £10. Even Scrooge relented during the festive season!
Last year, when pension increases were linked to either prices or wages (whichever was the greater), the Treasury underestimated the annual increase in earnings. When the government realised this, despite a moral obligation to make good the shortfall of 50p a week to couples and 35p a week to single persons, they cold-bloodedly decided not to do so.
Government policy to break the link with earnings and to relate pensions only to prices will result in an ever-increasing gap between pensioners and wage earners.
Supplementary pensions will drop to the basic pension rate. Single pensioners will lose 40p per week and couples 50p. Lump sum payments and laundry additions are to be reduced and it will be more difficult to claim them.
The value of the weekly Invalidity Pension will be reduced and now the Chronically Sick and Disabled Persons Act, which provides for help to the disabled, is under threat.
Local authorities are now permitted to charge pensioners on supplementary benefits for home helps. Several Tory councils (e.g. Barnet and Redbridge) are already imposing these charges, which constitute a brutal attack on the elderly poor.
Tory immigration laws make it harder for elderly dependents to join their families in Britain, while the Social Security Act makes it an offence for an elderly dependent to claim the non-contributory benefits. The result is poverty and starvation and is another example of the racism which is implicit in Tory philosophy.
Charlie Van Gelderen, London NW11