Broughty Pensioners Lose Out as Osborne Raids Their Tax Allowances

In the Chancellor of the Exchequer's third budget yesterday he raided the resources of pensioners, what some commentators have referred to as a 'granny grab'.
He announced an increase in personal tax allowances for those under 65 but failed to protect the existing age related extra tax allowances for pensioners. In subsequent examination of the detail in the budget volumes, it became clear that not only is he freezing these allowances for existing pensioners and gradually phasing them out but also removing them immediately for new pensioners born after 6 April 1948.

Details of the Tax Changes from HMRC website

So much for promising a significant increase in the future in the basic pension in 2015 and then taking it away by removing these age related tax allowances. Did he think that pensioners would not notice?

So while George Osborne and his coalition partners give with one hand they are taking away with the other. This will affect everyone over and approaching pension age in Broughty Ferry (and elsewhere). 

The government's own assessment of the impact of these changes is as follows:
"In 2013-14, 4.41 million people aged 65 and over will be worse off compared to 2012-13 when RPI indexation to the age-related allowances is taken into account." (Overview of Tax Legislation and Rates HM Treasury/HMRC page 46)