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Tories would defer state pension earnings link

Conservatives sources told The Independent newspaper that they would not restore the link between state pensions and earnings until 2015 because of the huge deficit in public finances.

Labour reaffirmed its intention to restore the link by 2012, but Conservative sources insisted their policy is no different to Labour's as the Government's policy incorporates the flexibility to restore the link by 2012, if affordable, or by 2015 "in any event".