Source · Select Committees · Business and Trade Committee
Recommendation 13
13
Paragraph: 58
With the benefit of hindsight, it is clear that the Government has already profited greatly...
Recommendation
With the benefit of hindsight, it is clear that the Government has already profited greatly from the Scheme. The Government must acknowledge that continuation of the arrangements in their current form deserves a review and a better outcome for pensions should be found. The current arrangements should be replaced with a revised agreement in which the Government is only entitled to a share of surpluses if the Scheme falls into deficit, and the Government has to provide funds. In that event, the Government should be entitled to 50% of future surpluses up to the total value of the funds it has provided to make up any shortfall. Such an arrangement takes account of the vast funds the Government has received thus far and the significant reduction in the risk it faces, and would ensure that neither party will be out of pocket in future.
Paragraph Reference:
58
Government Response
Acknowledged
HM Government
Acknowledged
13. The Government recognises the harsh conditions in which coal miners worked and the health issues those conditions caused. At privatisation, the Government took on British Coal’s liabilities and has since compensated former miners and their families for the damage done to their health.