Originally Posted by
Onceapilot
Hi Al!
Am I correct to say that Service personel are financially injured by this retrospective change in state pension law and, that personel had no choice in the way that their NI was charged during their service?
If so, is this not a breach of the "Military covenant" that DC should correct?
OAP
The state will suggest that by paying less NIC SP were
advantaged. It'd be a difficult sell, nigh on impossible, to suggest that levelling the playing field is a bad thing. Similar examples of unfairness might be the raising of the VAT level.. annoyingly sickening in itself, but it might be said it disproportionately benefited those who have to spend a bigger proportion of their income on zero rated goods (childrens clothes etc). Ultimately, skewing, rather than unfairness, happens all the time. Hopefully, in the wash, it all comes out ok.
On another note, this revised guidance is useful for everyone serving overseas, and who has a co-located partner. Thanks to Navy Phil for bringing it to my attention.
https://www.gov.uk/government/publications/national-insurance-credits-for-partners-of-armed-forces-personnel-overseas-after-6-april-1975