Bank of England: 'QE has not harmed pensioners'

The Bank of England have issued a report claiming the quantitative easing (QE) has not harmed pensioners and in some cases may have helped pension schemes.

The Bank of England claim that QE has had a neutral or positive affect on pension schemes.
The Bank of England claim that QE has had a neutral or positive affect on pension schemes. Credit: Yui Mok/PA Wire

In a paper published in response to a request by the treasury Select Committee for the Bank to explain the costs and benefits of its monetary policy.

The Bank has said: "The paper shows that QE also has a broadly neutral impact on a fully funded ‘defined benefit’ scheme. Moreover, the pension incomes of people coming up to retirement in a defined benefit scheme, whether fully funded or not, will have been unaffected by QE."

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Bank of England pensions row

Pensioners group Saga have said the Bank of England's Quantative Easing measure are "impoverishing pensioners" after the bank issued a report saying that pension schemes had benefited.