Today’s announcement that the Government admits maladministration and regulatory failure in the Equitable Life pension debacle will bring some relief to their many policyholders in St Albans.
I admit that I myself have pension policies with Equitable Life which were slashed in value – but I was lucky to have diversified pension investments. Many others were not so lucky.
They worked and saved for a reasonable retirement in what was held out to be a reliable company and then found that the cupboard was metaphorically bare.
It is perfectly clear that Government regulators could have stepped in much earlier to blow the whistle. Sadly there are a whole lot of weasel words in the government statement. There will only be ‘partial’ compensation for victims who have suffered ‘disproportionately’. We do not yet know the detail. It is all subject to the ‘position of the public finances.’ And of course every month of delay will see more policyholders die before they can receive whatever compensation is due.
It really is amazing how bankers are bailed by this government, money no object and no questions asked, yet how grudgingly the really deserving get to be compensated, and only after huge pressure. But this looks like a step forward, and it is a welcome change to hear a minister say ‘Sorry’.
I have a long memory! MPs were allowed to move (Labour and Tories!)there Equitable life pensions without penalties!the rest of us were trapped unless willing to lose huge chunks of our money.So why would this or any other government be willing to give us fair compensation?Ive voted labour all my life(im 56 years of age and have two Equitable Pensions)but sad to say,never again!Contrary to belief,im a working man,not all Equitable life members are middle class and well able to cope with this injustice.My vote will go to lib Dems at the next Election.Deni
Denis
I don’t know whether MPs were able to move their Equitable Life top-up pensions without penalty or not – I do know they have fabulously generous and index-linked regular pensions. I have middle-class friends who had all their pension provision in Equitable Life and have seen their retirement hopes dashed as a result – sadly some have died without even knowing of theis compensation. I hope it works out for you. When we hear of even more money being shovelled at the bankers today, it makes the response to Equitable Life seem even more niggardly, unfair and just plain too late.
Sandy