Govt has received almost £6.5bn from mining pension schemes

The government has received almost £6.5bn from two pension schemes for the mining industry since 1994, when it agreed a surplus sharing arrangement.

In a parliamentary written question, MP for Derby North Chris Williamson asked how much the Treasury has received from the Mineworkers Pension Scheme and the British Coal Staff Superannuation Scheme since 1994.

In response, Chief Secretary to the Treasury Liz Truss said the government has received £3,356.3m from the Mineworkers’ Pension Scheme and £3,119m from the British Coal Staff Superannuation Scheme since 1994.

The news follows pressure from former miners to review the suplus sharing arrangement, which currently sees the government get 50 per cent of any surplus from the Mineworkers’ Pension Scheme.

National Union of Mineworkers south Wales general secretary Wayne Thomas explained that the union wants to retain the government guarantee, but requires a review of the current 50/50 surplus deal.

During the summer the government said it is open to proposals from the Mineworkers Pension Scheme on its surplus sharing arrangements. In parliamentary written questions and answers addressed to former Pensions Minister and now Secretary of State for Business, Energy and Industrial Strategy Richard Harrington, Labour MP for Easington Grahame Morris questioned whether Harrington will enter into negotiations with the Mineworkers Pension Scheme trustees to discuss the surplus sharing arrangements.

Responding, Harrington acknowledged that while the surplus-sharing arrangements “have worked well to date”, the Department for Business, Energy and Industrial Strategy “would be willing to consider any proposals put forward by scheme trustees”.

Harrington added: “The presence of the government guarantee has enable the scheme trustees so invest as to target surpluses, which has resulted in a 30 per cent increase in payments to members.”

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