Mirror wills may be thinner as reform targets couples

The reading of certain wills may soon be considerably shorter, as a government reform looks set to hinder further the ability of low income couples to save.

Couples who have one partner of working age and one of Pension Credit age could end up with an income of up to a £100 a week less than current levels, because of changes to the Welfare Reform Bill.

Under the new Bill, a pensioner will be better off living alone, as they will be forced to apply for Universal Credit if part of a couple, which is intentionally low to give the younger partner incentive to work.

In addition to dramatically reducing the amount of money available to low-income couples for day to day living, it will also prevent many from saving and building an inheritance for their children, as money is designated for essentials.

Michelle Mitchell, charity director of Age UK, stated: "Pension Credit currently brings a couple's income to being just the right side of the poverty line."

"[The reform] could result in older people having to spend their retirement savings so they will be able to support their younger partner," she continued.

Published by Phil Hammond