Edmund Greaves

Biggest provider of workplace pensions to stop investing in tobacco

NEST, the largest provider of auto-enrolled workplace pensions in the UK, has announced that it is to divest all the money it manages for pension savers from the tobacco industry.

The firm says that it currently has around £40 million of exposure to tobacco stocks. This represents about 0.7% of its total assets under management (AUM).

BBC to scrap free TV licences for over-75s

From next year, 3.7 million pensioners will have to stump up the annual fee.

However, anyone in receipt of pension credit over the age of 75 will be able to receive a free licence from June 2020. This new scheme will cost the BBC around £250 million by 2021/22.

The BBC says that the current scheme is “untenable” and would have cost the corporation £745 million per year – equivalent to around one-fifth of its budget.

1p and 2p coins will not be withdrawn, chancellor confirms

Chancellor Philip Hammond is calling to an end speculation about the demise of copper coins. 

The chancellor will confirm in a speech that no changes will be made to the current cash supply, from 1p and 2p coins all the way up to £50 notes.

This is despite analysis from the Bank of England last year that suggested removing 1p and 2p coins would have little-to-no impact on inflation.

Mr Hammond comments: “Technology has transformed banking for millions of people, making it easier and quicker to carry out financial transactions and pay for services.

House of Lords committee says retirees should pay NI and calls for state pension triple lock to be scrapped

A report from the House of Lords Committee on Intergenerational Fairness and Provision has made wide-ranging recommendations on benefits for the elderly, calling for much of the help for older generations to be curtailed.

It has called for the free TV Licence for over-75s to be phased out, and for the state pension triple lock to be ditched.

The report has also criticised Winter Fuel Payments and older person’s bus passes, calling for both benefits to be only made available five years after state pension age, and treated as taxable income.

Mark Carney to step down as Bank of England governor

Mark Carney, who oversees the Bank of England's three main policy committees, one of which sets interest rates, will leave the post on 31 January 2020. 

The governor has been in the post since July 2013, and had his tenure extended by the Treasury to 2020 in order to help support a “smooth exit” from the European Union.

Mixed-age couples face £1 billion hit from Government Pension Credit raid

Moneywise first reported on 15 January that some couples could lose out on up to £7,000 a year in benefit payments.

Now, the government has published its ‘impact assessment’ of the benefit change and found it stands to save up to £1 billion over the next five years due to the overhaul.

The government’s own data says up to 15,000 couples will be affected after the change is implemented on 15 May this year. The years after affect the following numbers:

Are family gangs behind pension scams?

The regulator has worked with other government agencies on Project Bloom, set up to tackle pension scams.

Project Bloom has identified a number of gangs with close family ties targeting pension savers. A number of criminal investigations into these family gangs are under way between TPR, government agencies and the police.

UK house prices fall 2.9% in January as Brexit saps confidence

Political uncertainty is weighing on prices as it puts people off making big decisions resulting in a subdued market. However, a resilient jobs market and wage growth are keeping the market from falling harder, says Halifax.  

The figures in Halifax bank’s latest house price index show 0.8% growth year-on-year for house prices.