- Average public sector retiree will be almost three times better off than an equivalent in the private sector
- New video makes clear just how the big the gap is between public and private sector pensions
- 14 top bureaucrats will also receive a huge lump sum payout in addition to their annual pension, with an average value nearly £150,000
Following a groundbreaking investigation into public sector pensions earlier this year, the TaxPayers’ Alliance (TPA) is today revealing the details of some of the most generous unfunded pensions in Whitehall.
This new research shows that the 22 individuals who run UK government departments have an annual average pension pot of £907,273 and pension upon retirement of £50,909. The mandarin with the largest pension pot was Sir Simon McDonald, head of the Foreign and Commonwealth Office. His pension pot is currently valued at £1,858,000.
14 of these top bureaucrats will also receive a huge lump sum payout in addition to their annual pension, with an average value of £148,929.
Under the current pension scheme, the average public sector retiree will be almost three times better off than an equivalent in the private sector. The senior civil servants who lead Whitehall government departments have some of the best remuneration packages in the public sector, with a £20 million pension pot between them.
Click here to read the full report
To help highlight the disparity between public and private sector pensions the TPA is promoting a new video which explains in simple terms just how generous taxpayer-backed pensions are. Click here to watch our video.
John O’Connell, Chief Executive of the TaxPayers’ Alliance said:
"We often hear Whitehall officials pleading poverty when departments are asked to become more efficient, but somehow money is always found to pay the princely pensions for those at the top. Senior civil servants are already earning top wages, and these pension pots are beyond the wildest dreams of the hard pressed taxpayers who are paying for them, especially given that final salary schemes have all but disappeared in the private sector. With the enormous liabilities for public sector pensions kept off the official debt figures, they must be reformed to make them more sustainable in the long-term otherwise future generations will be footing the bill."
TPA spokesmen are available for live and pre-recorded broadcast interviews via 07795 084 113 (no texts)
Media contact:
Chloe Westley
Campaign Manager, TaxPayers' Alliance
[email protected]
24-hour media hotline: 07795 084 113 (no texts)
Notes to editors:
- Founded in 2004 by Matthew Elliott and Andrew Allum, and now with 80,000 supporters, the TaxPayers’ Alliance (TPA) fights to reform taxes, reduce spending and protect taxpayers. Find out more about the TaxPayers' Alliance at www.taxpayersalliance.com.
- TaxPayers' Alliance's advisory council.