On 18 May 2010, we published a briefing statement on the review of the Universities Superannuation Scheme (USS).
We reported that the Joint Review Group had held its final negotiations meeting on 30 April 2010 but had been unable to come to an agreement on the necessary changes to USS and had been disbanded.
The USS’s Joint Negotiating Committee was left with two formal proposals to consider, one from the Employers Pension Forum and one from the UCU. Both proposals are available on the Employers Pensions Forum website.
It is anticipated that the JNC will reach a conclusion on 7 July 2010 and will make a recommendation to the Board of USS which meets on 22 July 2010.
Should a change in the scheme be contemplated, all USS employers will then be asked to carry out statutory consultation with the individual members of the scheme who are in their employment.
The consultation period is expected to last from September to November 2010. USS is not a public sector pension scheme and is subject to the funding rules of a private sector scheme.
The Local Government Pension Scheme is a public sector pension scheme, one of the largest public sector pension schemes in the UK.
The emergency Budget, delivered by the Chancellor of the Exchequer on 22 June 2010, announced that an independent commission chaired by John Hutton will be asked to undertake a fundamental, structural review of public service pension provision.
This commission will complete its review in time to inform the Budget 2011. It has also been asked to consider the case for short-term savings by September 2010.
We will publish additional updates on the two pension scheme reviews as further information is made available.