Nearly 40,000 former mineworkers will see a significant increase of £100 per week in their pensions starting today. This boost of 41% follows extensive efforts to unlock surplus funds in the British Coal Staff Superannuation Scheme (BCSSS) for its members.
The move was announced after Chancellor Rachel Reeves disclosed in the Budget that the government had transferred the £2.3 billion reserve, which had been held by the government since 1994, back to BCSSS members. The initiative aims to ensure fair treatment for those who contributed to the coal industry during their careers.
Affected individuals will also receive a one-time lump sum of £5,500 today, retroactive to November 2024 when the Mineworkers’ Pension Scheme adjustment took effect.
The BCSSS scheme caters to former coal miners and individuals in various non-mining roles at collieries throughout the UK, including engineers, managers, canteen workers, and administrators. Approximately 40% of the around 40,000 BCSSS members are women. This development follows the government’s allocation of £1.5 billion to Mineworkers’ Pension Scheme members last year.
Secretary of State for Energy and Net Zero, Ed Miliband, lauded the progress, acknowledging the efforts of mineworkers and advocates in rectifying this long-standing issue. Cheryl Agius, Chair of Trustees of the British Coal Staff Superannuation Scheme, described the moment as historic and a culmination of persistent advocacy and cooperation.
The transfer of the investment reserve signifies a significant milestone for BCSSS members, aligning them with their counterparts in the Mineworkers’ Pension Scheme. Members played a crucial role in raising awareness about this matter, and the Trustees expressed gratitude for their support and involvement in the process.