15 October 2010
The government has announced it will consult on changes to the
National Insurance credit system. The proposed changes include a
specific credit applicable to grandparents.
The consultation comments that it is a common perception that
people become grandparents whilst in retirement and are therefore
able to look after their grandchildren. However on average people
are becoming grandparents at the much younger age of 49 and many
leave work to assist with looking after their grandchild.
The Minister for Pensions, Steve Webb said:
"I have supported the idea of a Grandparents' Credit for many
years. For too long the vital child-care that grandparents provide
so that parents can work has been overlooked by the system.
"It is about time that we protect the pension rights of
grandparents, many who are in their early 50s and giving up work
early to provide vital child-care.
"Parents of children under 12 and carers receive a credit
towards their basic State Pension so it makes sense to extend this
to grandparents of working age too."
To view the list of currently available National Insurance
credits click here
Since April 2010, people need to attain 30 qualifying years to
receive the full basic state pension.
To view the Department for Work and Pensions press release click here
