Key Takeaways
- • The Mineworkers' Pension Scheme (MPS) Guarantor's Fund, believed to be worth £1.2bn, remains locked up, with retired miners still waiting for payment according to Derbyshire County Council Leader Alan Graves.
- • Chancellor John Healey told the House of Commons in the October 28 autumn budget that work was under way to release the fund, but no timeline for a final settlement was announced.
- • Healey pledged a full transfer of the Guarantor's Fund and an end to the 'standstill arrangement', and announced an end to the split of investment surpluses so members can use all future surpluses to increase pensions.
- • Reform UK has pledged to settle the MPS within its first 100 days in power if the Labour Government does not do so before Christmas, and accused the Chancellor of failing to set a clear timetable.
Summary
Derbyshire County Council Leader Alan Graves has urged the Government to release more than £1bn held in the locked Mineworkers' Pension Scheme (MPS) for retired miners, citing a figure of £1.2bn. Graves said miners "are still waiting for the £1.2bn that is rightfully theirs" and called on the Government to back the region.
Chancellor John Healey told the House of Commons during the autumn budget announcement on October 28 that work was under way to release the MPS Guarantor's Fund to former miners. After concerns were raised by Labour MPs, Reform UK, and scheme trustees that a final settlement would not be reached in the budget, Healey said he would like to strike a deal to release the remaining pension funds in weeks rather than months. However, no timeline for a final settlement was announced. Healey did pledge the full transfer of the Guarantor's Fund, believed to be worth £1.2bn, and promised that pensions would continue to rise for former miners rather than being subject to a 'standstill arrangement'.
The fund is held within the MPS, which closed to new members when the British Coal Board was privatised in 1994. The Government at that time promised the value of the fund would not decrease, but only half of any investment surplus would go to pension bonuses, with the remainder taken by the Government. At the budget, Healey announced an end to the surplus-splitting arrangement, so members can use all future surpluses to increase their pensions.
Reform UK Treasury spokesperson Robert Jenrick and party chairperson Lee Anderson said in a joint statement: "Enough is enough. Miners and their families have waited too long." They claimed 18 ex-miners die every day without resolution and that members must be paid by Christmas. Reform said it would settle the MPS within its first 100 days in power if the current Government fails to do so before Christmas, and accused the Chancellor of failing to set a clear, unambiguous timetable. Labour Amber Valley MP Linsey Farnsworth, whose father worked as a miner, warned ministers that more miners will die without receiving their payout if a final settlement is not reached soon. Labour MPs have demanded an update, arguing that the undistributed surplus belongs to the miners and should be released.
Chancellor John Healey told the House of Commons during the autumn budget announcement on October 28 that work was under way to release the MPS Guarantor's Fund to former miners. After concerns were raised by Labour MPs, Reform UK, and scheme trustees that a final settlement would not be reached in the budget, Healey said he would like to strike a deal to release the remaining pension funds in weeks rather than months. However, no timeline for a final settlement was announced. Healey did pledge the full transfer of the Guarantor's Fund, believed to be worth £1.2bn, and promised that pensions would continue to rise for former miners rather than being subject to a 'standstill arrangement'.
The fund is held within the MPS, which closed to new members when the British Coal Board was privatised in 1994. The Government at that time promised the value of the fund would not decrease, but only half of any investment surplus would go to pension bonuses, with the remainder taken by the Government. At the budget, Healey announced an end to the surplus-splitting arrangement, so members can use all future surpluses to increase their pensions.
Reform UK Treasury spokesperson Robert Jenrick and party chairperson Lee Anderson said in a joint statement: "Enough is enough. Miners and their families have waited too long." They claimed 18 ex-miners die every day without resolution and that members must be paid by Christmas. Reform said it would settle the MPS within its first 100 days in power if the current Government fails to do so before Christmas, and accused the Chancellor of failing to set a clear, unambiguous timetable. Labour Amber Valley MP Linsey Farnsworth, whose father worked as a miner, warned ministers that more miners will die without receiving their payout if a final settlement is not reached soon. Labour MPs have demanded an update, arguing that the undistributed surplus belongs to the miners and should be released.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.