Minister for Pensions Steve Webb promotes TPAS
A letter from pensions minister Steve Webb was published in The Times on Saturday. Mr Webb was responding to an earlier article, which stated that people who deferred their state pension and then took a lump sum were accepting a 'bribe' of lesser value than their missed pension instalments.
Mr Webb explained that the lump sum option was brought in as a direct result of the government at the time responding to public preference. Although taking the pension increments instead provides a better deal for many people, some prefer to take a lump sum, and this may also be preferred because it may be ignored when calculating pension credit.
While Mr Webb said that he was always happy to consider whether the Pension Service's letters and leaflets could be any clearer, he recommended that people should call the Pensions Advisory Service for free, impartial information on state pension deferral and other pensions issues.