"If the Queen’s Speech is amended, the Prime Minister must resign"

Were the EU referendum amendment passed, Cameron would either have to resign or abandon centuries of parliamentary convention.

If the prospect of government MPs tabling an amendment to the Queen's Speech wasn't unusual enough (it hasn't happened since 1946), it now appears that David Cameron may be prepared to take the extraordinary step of supporting them. The Sun reports that Cameron is ready to vote in favour of the Conservative amendment, which "Respectfully regrets that an EU referendum bill was not included in the gracious speech". A No. 10 source tells the paper: "The PM is determined to make as many people as possible aware how keen he is to hold this referendum.

"This amendment backs up his policy, which is a Conservative Party policy, so why shouldn’t he vote for it too?"

In other words, the Prime Minister may be about to rebel against his own government. That really would put us in uncharted territory. As the Parliament website states, by convention, "If the Queen’s Speech is amended, the Prime Minister must resign." The last time an amendment was successful was in 1924 when Labour tabled a motion of no confidence in Stanley Baldwin's Conservative government. After the motion was passed by 328 votes to 251, Baldwin resigned as prime minister and Ramsay MacDonald formed the first Labour government. 

With Labour and the Liberal Democrats set to vote against the amendment (they have 314 MPs to the Tories' 305), there's almost no chance of it passing (although at least two Labour MPs, John Cryer and Kelvin Hopkins, have signed the amendment and there's always the option of abstaining...). But were the Tory rebels successful, it is clear that Cameron would either have to resign or abandon centuries of parliamentary convention. 

Update: It look as if there may be an escape route for Cameron. I've just spoken to the Commons Information Office which has informed me that as a result of the Fixed-term Parliaments Act, a successful amendment to the Queen's Speech is no longer regarded as a vote of no confidence in the government. This is because, for the first time, the bill offered a legal definition of a no confidence vote - a motion stating that "That this House has no confidence in Her Majesty’s Government." - meaning that defeats on matters such as the Queen's Speech or the Budget are no longer regarded as votes of no confidence in the government. Prior to the act, as the Information Office put it, "it was a motion of no confidence if everyone agreed that it was a motion of no confidence." 

A 2010 briefing note from the House of Commons Library had suggested that some ambiguity remained. It stated that it was "not clear whether a defeat on a motion or issue of confidence would count as a vote of no confidence for the purposes of the legislation.  For example, it is not clear whether a defeat on the Government’s budget would be considered as a vote of no confidence." It went on to suggest that "One possibility would be for the Government to make it clear before such a division that they considered it to be a matter of confidence; then the Speaker would certify it as such. This would effectively allow the Government to table a constructive vote of no confidence." 

But the Commons Information Office confirmed to me that this was not an option legally available to the government. 

I asked earlier whether, rather than resigning, Cameron would abandon centuries of parliamentary convention. It turns out he already has. 

David Cameron addresses the Global Investment Conference in London on May 9, 2013. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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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: www.oldmutualwealth.co.uk/ products-and-investments/ pensions/pensions2015/