Pensions: Unindexing Pensions Would Further Penalise Modest Households, According to a Study
7 Articles
7 Articles
The Institut des politiques publiques reveals that the unindexing of pensions would further penalise modest pensioners, accounting for 5.5 billion euros in public finances. Compared to this, the alignment of pension...
According to this study by the Institute of Public Policy, a total deindexation "would have the strongest effect" financially, contributing €5.5 billion to public finances, but "it produces an anti-distributive effect".
The abolition of the €4,439 tax reduction on pensions, one of the three scenarios mentioned in recent weeks, "would present the most redistributive profile", according to the Institute of Policy
The Institute of Public Policy assesses the performance and distribution of the effort of potential government measures to involve retirees in Budget 2027, in a note released this Monday, September 28.
The presentation of the text on the 2027 budget will take place on Thursday 1 October. One of the economic avenues mentioned is the deindexation of retirement pensions, but with what consequences?
The deindexation of retirement pensions would pay the state €5.2 billion but would more penalise modest households, according to a study by the Institute of Public Policy. Compared to three tax instruments, the PPI reveals that the abolition of old age pension pensions is a serious problem.
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