Statement from the National Trade Union Steel Coordinating Committee:
In response to the news that Tata Steel have disclosed a surplus for the new BSPS in their financial results:
“The trade unions campaigned to deliver the new British Steel Pension Scheme through the RAA process because all the experts told us the alternative was the inevitable insolvency of Tata Steel UK and the PPF for all members.
It was always expected the new BSPS would start with a significant buffer to enable it to pay out benefits to all members on a low-risk basis. We should be absolutely clear that this buffer is not Tata’s money, it is scheme members’ money which is ring-fenced to pay out benefits over the lifetime of the scheme.
The trade unions have always said that if scheme funding allows then Tata and the trustees can and should improve benefits in the future. The surplus for the new BSPS that Tata has reported today is higher than we expected, which we welcome as it strengthens our case for benefits to be restored.
The trade unions call on Tata and the trustees to agree to sit down with the unions to agree a process that ensures members will benefit from improvements to scheme funding going forward. The number one priority for the unions will be improving pension increases for members with pre-1997 service.”
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