Alison

[Alison @BrynPies]

@OwenWntr @JohnLeFevre Perhaps it wld be useful for writers for the Economist to ask @FryRsquared Hannah Fry (Professor of the Public Understanding of Mathematics at Cambridge) to run a session to help you all learn why communicating data clearly and transparently is important for public understanding?

[Alison @BrynPies]

@OwenWntr @JohnLeFevre In making your choice did you consider your own unconscious biases?
1. As a man you are less likely to be a victim of rape so less concerned to highlight the problem.
2. The Economist is pro immigration so is likely to want to minimise negative data.

[Alison @BrynPies]

@OwenWntr @JohnLeFevre Mathematician here. Using Maths to obfuscate data and mislead the public is not a good use of Maths. Lots of things can be mathematically correct, but clarity is just as important.

[Alison @BrynPies]

@miriam_cates Miriam - for all the reasons you state, all public sector pensions must move to the defined contribution system whereby everyone has their own pot and is forced to consider investments and returns - a good education for them. Every private sector employer has done this.

[Alison @BrynPies]

@Davidpr52119342 @rcolvile Pensioners with only the state pension get another £6k tax free allowance for interest on savings (so currently £18570 tax free in total) if those are their only 2 sources of taxable income. Not clear how this interacts with the proposed new higher threshold for their pension.

[Alison @BrynPies]

@AnnaClarke_____ @rcolvile Yeah, I think the problem with your obvious solution is that DWP is incapable of deducting tax at source on benefits - unlike every other employer in the country that operates PAYE.

[Alison @BrynPies]

@AnnaClarke_____ @DanNeidle @rcolvile They need to stop putting sticking plasters like this over problems *they create*. It always results in perverse incentives. Tax/benefits need to be simple and transparent.

[Alison @BrynPies]

@AlanJenkins2 @realhansard But not incompetent enough to not claim benefits? Whoever helps them claim benefits cld help them fill in a tax return. But if they’re that incompetent then their only income will be benefits from DWP and DWP can deduct tax at source just like every other employer does.

[Alison @BrynPies]

@pestymage @realhansard That’s what happens to every single public sector worker. And people who go over the child benefit threshold.

[Alison @BrynPies]

@AlanJenkins2 @realhansard In this digital day and age “paperwork” shouldn’t really be an argument. Deduct income tax at source like every employer has to do, but DWP seems incapable of doing, + online self assessment. Lots of benefits > tax threshold.

[Alison @BrynPies]

@krxsctr You can make the same argument for those who receive any benefits above the income tax threshold and don’t pay any income tax. It’s recategorising the state pension as a tax free benefit (for some)

[Alison @BrynPies]

@southrunner24 @francessmith Well I wouldn’t be averse to that, with tax deducted at source. Then everyone is on an equal footing. Public sector workers pay income tax, we don’t say “your wages come from the taxpayer so you don’t need to pay tax on them”. Makes comparison between wages & benefits transparent

[Alison @BrynPies]

@rcolvile @maxtempers Isn’t it more significant for those who have savings income? At the moment you have quite a big tax free savings interest element if you only have the state pension. How does that work with this new tax free state pension?

[Alison @BrynPies]

@RyanShorthouse @joshglancy At a lower interest rate (eg RPI flat like Plan 5), more students wld pay back in full and stop paying the 9% earlier. Charging different interest rates to different customers for the same product (3 yrs at uni) is an example of loan shark type behaviour.

[Alison @BrynPies]

@RyanShorthouse @joshglancy Ryan yr analysis is not fair either. About 1/3 plan 2 students expected to repay in full. These will be higher earners ie those on £52k+ who are being charged RPI + 3%. That interest rate is excessive. Cheaper to extend yr mortgage & repay (which their parents shld have done!)

[Alison @BrynPies]

@FraserNelson @PJL_UK It’s easy to say rising charges is a price worth paying if you’re not paying them. There are insufficient care home places now so profits won’t fall. Self-payers will pay more - for themselves and LA residents. How about govt backed insurance model where everyone contributes?

[Alison @BrynPies]

@DishSmichri @PensionsMonkey Not sure I understand that. You only lose £175k residence allowance if you go over £2m not £1m?? But annuities are better value at the moment & may make more sense for some (altho no inflation link at all is a big risk!)

[Alison @BrynPies]

@DishSmichri @PensionsMonkey Annuity wld be v poor value if you die in your 70s! But it does change the risk dynamics for managing pension assets and wealth. As ever the losers will be those less financially astute. Increases incentive to run down your assets and rely on state/benefits in very old age.

[Alison @BrynPies]

@David_J_Robbins No reason to continue with DB scheme as private sector has moved to DC