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He claims to be £2724 per annum 'out of pocket'. He has
twice written to the ODA. They informed him that his
pension is still higher than that of his UK equivalent to
whom he was indexed for SPOS purposes on his retirement.
Thorne argues that, because of exchange rate fluctuations
his pension is now worth 22% less in real terms than five
years ago.
5.
Mr
HMG has no statutory responsibility to maintain the purchasing power of overseas pensions (which Mr Thorne interprets to be related to the value of the basic pension.)
As Lord Caithness will recall from previous submissions, SPOS maintains the purchasing power of an overseas pension against UK inflation; it does not compensate for any loss in the value of the basic pension.
6.
There is nothing we can add to previous statements
made on these matters. As before, I recommend a
departmental reply to this letter.
ARR
A R Paul
PJZAVX/2
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