DON'T SAY I DIDN'T WARN YOU!

Yes, you read it here first (see "BUDGET 2010: ARE WE BETTER OFF?"). If your a man aged 60 or less, you won't be getting your pension until you're 66 and I have no doubt that it will continue to increase over time until future generations will be working until they're 70.

Watch out now for your bus pass, the winter fuel allowance and the TV licence. These subsidies to pensioners cost the Government about £4bn and they will be on the target list for further cuts in welfare benefits that are due this autumn.

The problem with 'across the board' benefits like this is that they don't differentiate between those that really need them from those that don't. And when they cut these benefits, they hurt those needy people and the rest simply shrug and pour another glass of wine. It can't be beyond the wit of some economist to come up with a simple formula that's easily applied so that the poorer pensioners in society are protected from the whim of a Chancellor. How about, if you're of pensionable age and you pay income tax you don't get the benefit, or if your income's above £20,000 (to take a number) you don't get a bus pass, or whatever. Like the man said - it's not rocket science.

There's a big black hole in the economy that has to be filled and a lot of what Mr Osborne has done makes sense, but let's not fill the hole with the supporting framework of the poorer pensioners.

On the positive side, businesses will not be able to force you to retire at 65 if you don't want to. Some far-sighted companies have already adopted this policy. B&Q for example abolished their retirement age more than 15 years ago.

Perhaps the best way to supplement your retirement income is to look after yourself and run a small part-time business from home. Retirement Revenue have got some good ideas on that subject.

Be well.