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London, England, United Kingdom (AHN) – While the British coalition government raised the retirement age in last week’s spending review, ministers say they are also planning to increase the state pension to $210 (140 pounds) a week. The current pension is a maximum of $146.48 (97.65 pounds) for singles and $234.23 (156.15 pounds) for couples.

A major change in state pensions, the plan would result in the system becoming more simplified and an end to means-tested top-ups. The revisions would be contained in a green paper the coalition government will come up with by the end of 2010.

Ministers said by using a single-tier system, they expect to reduce the bureaucracy and save the government $9 billion (6 billion pounds) a year.

The changes appears to be the government’s way of placating citizens who were angered by the removal of the child benefit for Britons earning over $66,000 (44,000 pounds) a year. The change benefits married couples and full-time mothers who stay at home.

In last week’s spending review, Chancellor George Osborne announced the increase of the state pension age to 66 for both genders by 2020. It is six years ahead of an earlier announcement.

An actuary firm identified women born in 1954 as the biggest loser in the announcement because they would have to work for two more years before they could retire at age 66, while women born a year earlier would get their state pensions when they turn 63.

The actuary firm said the loss is not just in extra working years, but in pension income worth more than $22,500 (15,000 pounds).

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