Retrospective changes to pension

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  • Brynsam
    Brynsam Posts: 3,643 Forumite
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    brewerdave wrote: »
    You will probably find that the Trustees are under significant pressure from the parent Company to minimise future Company contributions:(

    That is likely to be true - but it isn't a justification for bending under pressure, unless there are good reasons to do so (pleasing the employer isn't one of them).
  • kidmugsy
    kidmugsy Posts: 12,709 Forumite
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    Silvertabby wrote: »
    Most public sector pension schemes (including OP's Civil Service) switched from RPI to CPI for both pre-retirement and pensioner members from April 2011.

    My principal DB scheme made the same switch even though it is not a public sector scheme. It turned out that although the leaflets over the years had always chattered about RPI-linking, the scheme rules specified linking to inflation in the same way as for ... civil servants I think it was. Naturally the rules governed what happened.

    If anyone my age were to tell me that if he'd known about the difference between the rules and the leaflets he'd never have joined the scheme I'd tell him he was lying. It's annoying but those of us who didn't read the rules have only ourselves to blame for being surprised.

    EDIT: come to think of it we could blame the union for not warning us but that would be the height of hypocrisy since everyone acknowledged that the union was utterly useless on anything to do with pensions (and on most other things too).
    Free the dunston one next time too.
  • 50Twuncle
    50Twuncle Posts: 10,763 Forumite
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    Out of interest
    PCS union still offers its own staff a RPI based pension increase !!
  • atush
    atush Posts: 18,726 Forumite
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    If you have taken an ill health retirement under age 55, I am surprised you expect to live to 100 ;)
  • 50Twuncle
    50Twuncle Posts: 10,763 Forumite
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    edited 14 May 2018 at 8:10PM
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    atush wrote: »
    If you have taken an ill health retirement under age 55, I am surprised you expect to live to 100 ;)
    I was 47 at retirement !!
    Why not - being disabled does not mean death !
    I stand as much of a chance of making my ton as anyone else !!
  • brewerdave
    brewerdave Posts: 8,508 Forumite
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    Brynsam wrote: »
    That is likely to be true - but it isn't a justification for bending under pressure, unless there are good reasons to do so (pleasing the employer isn't one of them).


    ...but if there is a shortfall in the "pot" (which is highly likely with most DB schemes) the trustees have to agree to a schedule of extra contributions made by the parent Company to fill/close the gap - probably politically easier to achieve if future liabilities have been reduced by changing from RPI to CPI!
  • p00hsticks
    p00hsticks Posts: 12,826 Forumite
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    50Twuncle wrote: »
    I was 47 at retirement !!
    Why not - being disabled does not mean death !
    I stand as much of a chance of making my ton as anyone else !!


    There's a difference between being disabled and being in ill health though.....
  • Keep_pedalling
    Keep_pedalling Posts: 16,635 Forumite
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    molerat wrote: »
    BT are currently going through the courts on this one, they lost in the high court and are now going to appeal. Very strange for a pension to do this before the BT case is done and dusted.

    Whatever ruling is final given in this case it does not set any precedent for any other pension scheme. The case refers to section C pensioners, those like myself on sections A & B have already been switched to CPI.

    Each pension scheme will have its own rules, and its the interpretation of the interpretation of those rules that is at the heart of this case.
  • lisyloo
    lisyloo Posts: 29,617 Forumite
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    I stand as much of a chance of making my ton as anyone else !!
    If youre 54 you can expect to live until 85/88 for male/female in england.
    http://www.bbc.co.uk/news/health-44107940

    Your poit about RPI/CPI still stands but 100 is optimistic.
  • xylophone
    xylophone Posts: 44,422 Forumite
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    but 100 is optimistic.

    A relative of mine has PoA for a lady now in her 97th year - she recently received a letter from the friend who was her bridesmaid mentioning four acquaintances who'll make the "ton" this year....

    One of our parishioners visits a former neighbour who recently chose to go into a residential home at the age of 105.....
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