Annual pensions report unveiled

The meeting of the pensions ombudsman's office has produced a report about the state of the UK's pensions service.

It has found that the highest number of complaints came in regarding ill health pensions.

The refusal to grant an ill health pension would be particularly stressful at any time, but with costs of living rising - coupled with the fact that early retirees may still be paying a mortgage - it is easy to understand the added stress attached to a current decision not to award such a deal.

Finding the figure "unsurprising", the pensions ombudsman's report stated that: "The scheme member's income for the rest of their life is an issue at a time of stress, and there are difficult matters of judgement and assessment of medical evidence involved, rather than clear cut facts."

In positive findings, the report showed that the ombudsman continued past success in lowering the time taken to process a complaint, with more cases closed in 2007-08 than taken on.

The statement comes at a crucial time for the government as it tries to keep both inflation and the cost of living down simultaneously - both of which are factors that affect retirees more acutely than those in work.