Government scraps plans to increase taxpayer contributions to MPs' pensions

Posted on Jun 25, 2009

The Government's plan to increase taxpayer contributions to the MPs' pension scheme by 7% has been abandoned amid fears of further public outrage following the recent expenses revelations.

A move to increase MPs' contributions by £60 a month will still go ahead. However, it is thought that this alone will not be enough to plug the shortfall in the scheme.

Other options, including raising the age at which pensions can be claimed from 65 to 67, are being considered.