UK Parliament / Open data

Public Service Pensions Bill

Proceeding contribution from Sheila Gilmore (Labour) in the House of Commons on Tuesday, 4 December 2012. It occurred during Debate on bills on Public Service Pensions Bill.

I thank my right hon. Friend for his intervention, because that is an important point. If the rest of the clause did not give rise to the possibility of substantial changes, that provision might be acceptable. However, where we are talking about much greater changes, it is particularly important that the full debate takes place.

Again, there appears to be a difference between giving an assurance and a reluctance to see that assurance embedded in the Bill. Various people have mentioned that the whole debate we have had, particularly since 2010, has eroded some of the public sector workers’ trust. I do not generally seek to be overly alarmist in these matters, but even in Committee—I am pleased to say that this has not happened today—there were points when we could see exactly why many public sector workers are apprehensive, There were those, admittedly not a ministerial level but on the Government Back Benches, who clearly still feel that public sector pensions are too generous. The underlying thinking is that at some point, perhaps in the not-too-distant future, further attempts will be made in that regard.

I fully accept that even with the changes that come through this Bill and through other negotiations that have taken place, public sector pensions remain far better than private sector pensions. However, we always have to remember that the comparator we now have is absolutely dreadful private sector pensions, regardless of where we place the blame and how that has happened. One thing that politicians should be doing in the next few months and years is trying to improve private sector pensions.

Finally, I wish to discuss amendment 11, which relates to the local government scheme in Scotland.

Generally, the arrangements for many public sector schemes in Scotland have been that Scottish Ministers could make regulations, but that they were subject to Treasury approval. For the most part, whether because of that need for Treasury approval or because until relatively recently there has been no reason to depart

from the UK-wide arrangements as doing so might create various anomalies that would not always be helpful, the regulations for schemes—all those that are not funded, at least—have lain with Scottish Ministers but have been made in the same way.

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The exception is the local government pension scheme and the difference is that that is a funded scheme. It has been regulated in a way that has not normally had Treasury approval. The purpose of our amendment is to exclude the Scottish local government pension scheme from the Bill, which would enable matters relating to that scheme to be dealt with by Scottish Ministers. The amendment would perhaps add clarity to the devolution of power, but, more importantly, it would embed the practice as regards that scheme and safeguard it. Otherwise, the Bill would mean that the Treasury would be involved in setting aspects of the Scottish local government scheme and, for the first time, local government workers in Scotland might find that changes can be made to their pensions by the UK Government.

Type
Proceeding contribution
Reference
554 cc764-5 
Session
2012-13
Chamber / Committee
House of Commons chamber
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