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United Kingdom

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Abstract:

Britain has a complex pension system, which mixes public and private provision. The public scheme has two tiers, (a flat‐rate basic pension and an earnings‐related additional pension), which are complemented by a large voluntary private pension sector. Most employee contributors "contract out" of the state second tier into private pensions of different sorts. A new income‐related benefit (pension credit) has recently been introduced to target extra public spending on the poorest pensioners.

Document Type: Review Article

Publication date: 2007-06-01

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