United Kingdom: PS pension study postponed
A decision by the UK Government to delay part of its work on the valuation of Public Service pensions has sparked an angry response from unions.
Critics of the move say it is simply a stalling measure to deny improvements to members’ benefits.
Chief Secretary to the Treasury, Liz Truss (pictured) told Parliament that a December judgement from the Court of Appeal on “transactional protection” offered to some scheme members could have a £4 billion (A$7.1 billion) a year impact on public sector pension finances.
She said the decision meant it was “not now possible to assess the value of the current Public Service pension arrangements with any clarity”.
Unions said the move was a delaying tactic to avoid recognising that the costs of operating pension scheme changes introduced by the Coalition Government in 2015 had been less than anticipated, which could lead to member contributions being reduced or their benefits improved.
General Secretary of the PCS union, Mark Serwotka said the announcement was an unnecessary response to the Court of Appeal decision, which followed an action brought by the Fire Brigades Union (FBU).
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