David Hanson MP calls on UK Government to change the Mineworkers' pension plan
David Hanson, MP for Delyn, is calling on UK Government to change the Mineworkers' pension plan.
Mr Hanson recently attended a debate in the House of Commons which aim to redress the balance within the pension scheme.
When the scheme was first established is was decided that any yield from the scheme would be split 50/50 between mineworkers and the UK Government.
The MP said when British Coal was privatised in 1994, an arrangement was made between the then Government and the trustees of the British Coal pension schemes – the Mineworkers Pension Scheme (MPS) and the British Coal Staff Superannuation Scheme (BCSS) – on their future arrangements.
Since then the UK Government has not made any direct payments into the scheme.
It was discovered in November 2018 that the UK Government said they had received £4,328 million under the surplus sharing arrangements since 1994.
Labour MPs are demanding an immediate review of the 50/50 split as the UK Government is receiving large pay-outs and mineworkers, who are sadly passing away, are proportionally receiving less from their pension due to the split.
Mr Hanson said: "Everyone deserves a decent pension. When British Coal was privatised the UK Government in 1994 agreed a 50/50 split between mineworkers and themselves. But years of hard toil in the pits has meant that the number of mineworkers on the pension scheme has fallen but the UK Government have kept the original terms in place.
"This is not right as mineworkers are not getting their fair share.
"It is really important that an urgent review is undertaken of this 50/50 split. It cannot be right that the UK Government can receive £4,328 million since 1994. Some of this should have gone back to mineworkers.
"The UK Government is the guarantor of the scheme and therefore will require some income from the fund to ensure that if any difficulties arise it can pay the difference, but the amount being taken doesn’t seem justified to many people on the Mineworkers’ Pension Scheme."