Almost 40,000 former mineworkers are seeing a significant increase of £100 per week in their pensions beginning today, marking a 41% boost. This development follows extensive efforts to release surplus funds from the British Coal Staff Superannuation Scheme (BCSSS) to its members.
The announcement was made after Chancellor Rachel Reeves disclosed in the Budget that the government has returned the £2.3 billion reserve, which had been in government possession since 1994, back to BCSSS members. This decision was part of the commitment to ensuring fair treatment for individuals who served in the coal industry upon retirement.
Affected individuals will also receive a one-time lump sum payment of £5,500 today, retroactive to November 2024 when the Mineworkers’ Pension Scheme saw its increase.
The BCSSS scheme caters to former coal miners and individuals who held various roles at collieries across the UK, including engineers, managers, canteen workers, and administrators. Among the approximately 40,000 members of BCSSS, around 40% are women. This move follows a previous transfer of £1.5 billion to participants of the Mineworkers’ Pension Scheme in the prior year.
Ed Miliband, the Secretary of State for Energy and Net Zero, commended the efforts of mineworkers and campaigners in rectifying this long-standing injustice. The uplift in pension payments, amounting to 41%, just before the holiday season, is expected to provide these individuals with the retirement benefits they deserve.
Cheryl Agius, Chair of Trustees of the British Coal Staff Superannuation Scheme, hailed this as a historic moment resulting from perseverance, advocacy, and collaboration. The transfer of the investment reserve to members signifies a pivotal moment for the Scheme, aligning BCSSS members with their counterparts in the Mineworkers’ Pension Scheme.
Gratitude was expressed towards Scheme members for their instrumental role in raising this issue with the government over the past year.