Baroness Warsi, Bahrain and the falsehood of British democracy

The Queen has invited the King of Bahrain to her Jubilee - but criticising her would be "mean", the

As Bahrain descends into its “three days of rage” leading up to Sunday's Grand Prix, at once barring journalists and repelling Formula One drivers, we have to wonder what pro-democracy protesters would make of a preened politician refusing to denounce their oppressor on prime-time TV.

Conservative Party Chairman Baroness Sayeeda Warsi, whose hair is so shiny it reflects off every camera pointing at her, told BBC Question Time viewers last night that it would be “mean” to condemn the Queen for entertaining the King of Bahrain at a Diamond Jubilee luncheon. 
Woops! Poor Liz. We clearly should never have said anything about the matter, despite, you know, living in a democracy and all. Like Bahraini king Hamad bin Isa Al Khalifa authorising his army to detain nearly 3000 pro-democracy protesters and kill more than 50, perhaps our head of state should be able to do exactly what she likes without criticism. Does the Queen even know of the plight of Abdulhadi al-Khawaja, the former president of the Bahrain Centre for Human Rights who has been on hunger strike for 73 days now? He was sentenced to life imprisonment in June for plotting a coup against the ruling elite; the sentence was imposed under emergency laws specifically targeting activists who demonstrated in the uprisings of February and March last year.
Bahrain, like Syria, is still very much in the middle of its Arab Spring, more than a year after uprisings began. At first ignored by mainstream media and politicians who preferred to entertain the ethics surrounding a NATO mission in Libya, it is perhaps not far-fetched to suggest that were it not for the Formula One Grand Prix, this small island in the Persian Gulf wouldn't have received half the international media coverage it has. There seems no need to question why this might be: the coalition government, for all its disgust at Russia's arms deals with Syria, authorised the sale of £2.2m of arms to Bahrain in the summer.
Civil unrest in Bahrain is still being swept under the carpet. Formula One chief Bernie Ecclestone earlier this month refused to withdraw the Grand Prix from the country, despite doing so last year. Former leader of the Metropolitan Police's Special Inquiry Squad, John “Yates of the Yard” Yates, was appointed by Al Khalifa to help out his security services (from one moral scandal to another, some might say). As though writing a holiday postcard home, he commented that Bahrain was “a delightful place”. And while the Crown Prince Salman bin Hamad Al Khalifa was embarrassed into pulling out of an invitation to last year's ubiquitous royal wedding, Bahraini and British royalty will finally reconcile at a Windsor Castle jubilee lunch next month. 
The whole charade smacks of everything that is wrong with an unelected head of state. We can nod alongside William Hague's disapproval of the use of live ammunition on Bahraini activists, even protest against the exchange of arms approved by the same man's own government. But God forbid we should be "mean" enough to criticise the Queen when all she wants to do is celebrate 60 years of unelected rule with her dictator friends. 
Baroness Warsi might have caused outrage last night - but she also revealed a critical truth about Britain. Question the powers that be, and you get shot down. It might not be torture and teargas, but it's certainly not democratic. 
Bahraini Shiite Muslims protesting against the Grand Prix. Photo: Getty Images
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Stability is essential to solve the pension problem

The new chancellor must ensure we have a period of stability for pension policymaking in order for everyone to acclimatise to a new era of personal responsibility in retirement, says 

There was a time when retirement seemed to take care of itself. It was normal to work, retire and then receive the state pension plus a company final salary pension, often a fairly generous figure, which also paid out to a spouse or partner on death.

That normality simply doesn’t exist for most people in 2016. There is much less certainty on what retirement looks like. The genesis of these experiences also starts much earlier. As final salary schemes fall out of favour, the UK is reaching a tipping point where savings in ‘defined contribution’ pension schemes become the most prevalent form of traditional retirement saving.

Saving for a ‘pension’ can mean a multitude of different things and the way your savings are organised can make a big difference to whether or not you are able to do what you planned in your later life – and also how your money is treated once you die.

George Osborne established a place for himself in the canon of personal savings policy through the introduction of ‘freedom and choice’ in pensions in 2015. This changed the rules dramatically, and gave pension income a level of public interest it had never seen before. Effectively the policymakers changed the rules, left the ring and took the ropes with them as we entered a new era of personal responsibility in retirement.

But what difference has that made? Have people changed their plans as a result, and what does 'normal' for retirement income look like now?

Old Mutual Wealth has just released. with YouGov, its third detailed survey of how people in the UK are planning their income needs in retirement. What is becoming clear is that 'normal' looks nothing like it did before. People have adjusted and are operating according to a new normal.

In the new normal, people are reliant on multiple sources of income in retirement, including actively using their home, as more people anticipate downsizing to provide some income. 24 per cent of future retirees have said they would consider releasing value from their home in one way or another.

In the new normal, working beyond your state pension age is no longer seen as drudgery. With increasing longevity, the appeal of keeping busy with work has grown. Almost one-third of future retirees are expecting work to provide some of their income in retirement, with just under half suggesting one of the reasons for doing so would be to maintain social interaction.

The new normal means less binary decision-making. Each choice an individual makes along the way becomes critical, and the answers themselves are less obvious. How do you best invest your savings? Where is the best place for a rainy day fund? How do you want to take income in the future and what happens to your assets when you die?

 An abundance of choices to provide answers to the above questions is good, but too much choice can paralyse decision-making. The new normal requires a plan earlier in life.

All the while, policymakers have continued to give people plenty of things to think about. In the past 12 months alone, the previous chancellor deliberated over whether – and how – to cut pension tax relief for higher earners. The ‘pensions-ISA’ system was mooted as the culmination of a project to hand savers complete control over their retirement savings, while also providing a welcome boost to Treasury coffers in the short term.

During her time as pensions minister, Baroness Altmann voiced her support for the current system of taxing pension income, rather than contributions, indicating a split between the DWP and HM Treasury on the matter. Baroness Altmann’s replacement at the DWP is Richard Harrington. It remains to be seen how much influence he will have and on what side of the camp he sits regarding taxing pensions.

Meanwhile, Philip Hammond has entered the Treasury while our new Prime Minister calls for greater unity. Following a tumultuous time for pensions, a change in tone towards greater unity and cross-department collaboration would be very welcome.

In order for everyone to acclimatise properly to the new normal, the new chancellor should commit to a return to a longer-term, strategic approach to pensions policymaking, enabling all parties, from regulators and providers to customers, to make decisions with confidence that the landscape will not continue to shift as fundamentally as it has in recent times.

Steven Levin is CEO of investment platforms at Old Mutual Wealth.

To view all of Old Mutual Wealth’s retirement reports, visit: products-and-investments/ pensions/pensions2015/