He said there were two different issues, public sector pensions and private sector pension.  He said that 40% of people working in the private sector would retire at 60.  In the public sector (under the deal agreed a month ago) new entrants would retire at 65.  Given that 10% of public service employees change jobs every year, in 10 years time 70% of public service employees would be under the new scheme rather than the old scheme.

On possible renegotiation, he said "As we reached an agreement a month ago, it is better to stick to agreements rather than tear them up after a month."  Would there be a statement to Parliament?  There would, he replied, probably from the Works and Pension Secretary John Hutton.  The important thing, he said was, as John Hutton and others had pointed out, the publication of the Turner Report was to be the start of a rational debate on pensions and 'how we move forward.

The Chancellor  would call for a national consensus on pensions in his CBI speech, he said.  The Government would 'broadly welcome' the Turner Report and then seek a consensus.  If a deal was a bad deal he was asked, was it not better to revoke it sooner rather then later?   He replied, "I think the question I would put back to you is look at the experience of the private sector, look at the deals done in the private sector, the public sector mirrors that.

Did the Government accept that there was 'a pensions crisis', he was asked.  "The Government's position is that there is a real issue because of demographics, the dramatic switch between those of working and those reaching pensionable age.  That is why we set up the Turner Commission.  We believe it is a serious report and that is why there should be a serious debate on the report".