Campaigners remain optimistic despite reports the government may renege on expected surplus refunds to scheme members (iStock.com/dannyfroese)
Labour MPs have expressed anger at government plans to change course over paying back £1.2bn in remaining surplus to members of the Mineworkers’ Pension Scheme (MPS), according to reports today.
MPs were told on Tuesday that ministers no longer planned to transfer the remaining surplus in the MPS, believed to be worth £1.2bn, to former mineworkers as expected, according to PoliticsHome, instead opting to renegotiate the surplus-sharing arrangement.
Labour MP for Normanton and Hemsworth Jon Trickett said: "We owe a moral duty to the miners and the government must show that it has listened, understands and will act in this matter. Nothing less will do."
Prime minister Andy Burnham had made the miners' pension dispute part of his by-election campaign in Makerfield earlier this year, saying he would "keep fighting" to make sure "every penny reaches the people it is meant for".
The Conservative government took on the scheme as guarantor following the privatisation of British Coal in 1994, implementing a 50-50 surplus-sharing arrangement while the scheme ran on.
Labour's 2024 election manifesto committed to reviewing this arrangement and at the Autumn Budget that year, then- chancellor Rachel Reeves transferred the scheme's £1.5bn Investment Reserve Fund to the trustees. Member benefits were augmented, with an average pension increase of 32%.
The £2.3bn equivalent was also transferred from the British Coal Staff Superannuation Scheme, leading to a 41% increase in pension incomes last December, backdated to November 2024.
However, ahead of the Budget due to be delivered today (28 October), many MPs in former mining constituencies had expected scheme members to receive some £1.2bn in remaining surplus.
Labour MP for Mansfield Steve Yemm told the BBC he was "optimistic" that campaigners would get justice.
When asked by former miner and MP for Blyth and Ashington Ian Lavery last week to give assurances that mineworkers would be "given full justice" at the Budget, trade minister Blair McDougall said mining communities were owed "a debt of gratitude", but asked for patience.
The National Mineworkers Pension Campaign has consistently campaigned against the 50-50 surplus share, including in June of this year outside parliament.
HM Treasury declined to comment ahead of the Budget.
