01 October 2018 
Karel Thomas, Executive Director
The Daily Mirror print edition bore a striking headline on Monday, “Tories prepare to rob NHS of £2.7billion in "spiteful" stealth cuts despite claims they're ploughing in cash” revealing the impact that the change is discount rate used for public-sector pension schemes is going to have. The Telegraph (free registration required) also covered the story with the headline, “'Crazy' boost for gold-plated public sector pensions”. This is the issue that is worrying universities whose staff belong to the TPS or the NHSPS as the financial impact on institutions runs into millions of pounds they had not budgeted for. Such is the concern that the Chair of UCEA, Professor Mark E. Smith has written a letter to the Chief Secretary to the Treasury setting out in strong terms the financial impact of the proposed increase. The letter urges the Treasury to reconsider making the proposed changes, particularly the reduction to the discount rate and seeks confirmation that HE will be eligible for additional funding to meet the costs of the proposed employer contribution increase. The letter also raises concerns about an anticipated similar employer contribution increase in the NHS Pension Scheme. Thank you to colleagues who contributed information that helped compile the letter, which is on the UCEA website for members. Login to your BUFDG account if you would like to contribute to the discussion prompted by the news item Government has two hands to give and take and while you are there, why not update your preferences to make sure you are getting the right sort of communications from us.
