Pension Surplus

[NWpostie]

It's very simple in my eyes, it should go to the people who paid into the fund. There is no left or right wing answer

Should I/we take money from our bank accounts if we are lucky enough to have saved some money during our time working for RM and give it to new staff? youre basically suggesting the same thing

Someone on the left would have no problem with other people's money being redistributed amongst all of the workers ,whereas some on the right would insist that it is distributed amongst the people who paid in.
I'm merely shining a light on the hypocritical views of some of the lefties on here.
They're all for the redistribution of wealth so long as its not their money.
Personally, I think the money ought to be left where it is.

We know that people on the left have no problems spending other people's money.

"The trouble with Socialism is that you eventually run out of other people's money" - Margaret Thatcher

[Wullie10]

It's very simple in my eyes, it should go to the people who paid into the fund. There is no left or right wing answer

Should I/we take money from our bank accounts if we are lucky enough to have saved some money during our time working for RM and give it to new staff? youre basically suggesting the same thing

Someone on the left would have no problem with other people's money being redistributed amongst all of the workers ,whereas some on the right would insist that it is distributed amongst the people who paid in.
I'm merely shining a light on the hypocritical views of some of the lefties on here.
They're all for the redistribution of wealth so long as its not their money.
Personally, I think the money ought to be left where it is.

We know that people on the left have no problems spending other people's money.

I am sure they are willing to give up their grandfather rights PHG and drivers money to share amongst those more unfortunate than themselves

[Wullie10]

It's very simple in my eyes, it should go to the people who paid into the fund. There is no left or right wing answer

Should I/we take money from our bank accounts if we are lucky enough to have saved some money during our time working for RM and give it to new staff? youre basically suggesting the same thing

Someone on the left would have no problem with other people's money being redistributed amongst all of the workers ,whereas some on the right would insist that it is distributed amongst the people who paid in.
I'm merely shining a light on the hypocritical views of some of the lefties on here.
They're all for the redistribution of wealth so long as its not their money.
Personally, I think the money ought to be left where it is.

We know that people on the left have no problems spending other people's money.

I am sure they are willing to give up their grandfather rights PHG and drivers money to share amongst those less
fortunate than themselves

[Wullie10]

Looks like the government are going ahead to let firms raid pension funds surplus oweners so the can invest in the company and grow the economy ( Reeves is desperate). In theory. In reality it'll be more money for the owners and more money for the government. Looks like nothing for the people who contributed to the funds. Daniel Křetínský must be rubbing his hands with glee. Good old socialist governments

[RobertT]

You beat me to it!

Here's some reading matter: https://www.pensionsage.com/pa/Govt-to- ... posals.php

[milly]

Looks like the government are going ahead to let firms raid pension funds surplus so the can invest in the company and grow the economy ( Reeves is desperate). In theory. In reality it'll be more money for the owners and more money for the government. Looks like nothing for the people who contributed to the funds.

People wanted Socialism, so that's what they're getting, they will continue distributing wealth from workers to anybody who rocks up on our shores, as well as our homegrown idle citizens,and the bloated public sector.

[RobertT]

Looks like the government are going ahead to let firms raid pension funds surplus so the can invest in the company and grow the economy ( Reeves is desperate). In theory. In reality it'll be more money for the owners and more money for the government. Looks like nothing for the people who contributed to the funds.

People wanted Socialism, so that's what they're getting, they will continue distributing wealth from workers to anybody who rocks up on our shores, as well as our homegrown idle citizens,and the bloated public sector.

It's nothing new, the Sunak government announced similar plans and a consultation back in February 2024:

https://www.gov.uk/government/consultat ... it-schemes

[Wullie10]

I don't understand how money can be "" trapped "" in a pension . It's ridiculous. That ""trapped"" money they want to get their hands on could some day be needed. If pension benefits are unable to be met then they are backed by the tax payer which is us. A pension fund is for the retirement of people who have paid into the system. Not a speculative gamble to see if they can create a surplus to hand out to shareholders.

[Wullie10]

Also an interesting read
https://www.heraldscotland.com/opinion/ ... -troubles/

[milly]

Looks like the government are going ahead to let firms raid pension funds surplus so the can invest in the company and grow the economy ( Reeves is desperate). In theory. In reality it'll be more money for the owners and more money for the government. Looks like nothing for the people who contributed to the funds.

People wanted Socialism, so that's what they're getting, they will continue distributing wealth from workers to anybody who rocks up on our shores, as well as our homegrown idle citizens,and the bloated public sector.

It's nothing new, the Sunak government announced similar plans and a consultation back in February 2024:

https://www.gov.uk/government/consultat ... it-schemes

The Tories are nearly as Socialist as Labour.

[Wullie10]

History repeats itself. Reeves plan sounds like
Thatchers pension holiday plan in the 80s. We'll obviously it isn't the same in that Royal Mail will still be paying into the plan , but the sentiment is there. Politicians again fiddling with pensions to get themselves out of a hole.

[RobertT]

History repeats itself. Reeves plan sounds like
Thatchers pension holiday plan in the 80s. We'll obviously it isn't the same in that Royal Mail will still be paying into the plan , but the sentiment is there. Politicians again fiddling with pensions to get themselves out of a hole.

Thatchers government decided pension surpluses should be taxed, amongst other things, so some schemes took payment holidays to avoid that.
The one the RM took was a massive 13 years(1990-2003).

Thatchers pension changes: https://www.professionalpensions.com/fe ... d-pensions
RM's holiday: https://www.express.co.uk/news/uk/87061 ... sion-break and https://www.standard.co.uk/hp/front/the ... 41762.html

I don't understand how money can be "" trapped "" in a pension . It's ridiculous. That ""trapped"" money they want to get their hands on could some day be needed. If pension benefits are unable to be met then they are backed by the tax payer which is us. A pension fund is for the retirement of people who have paid into the system. Not a speculative gamble to see if they can create a surplus to hand out to shareholders.

Up to now, surpluses often became available to be redistributed following a buy out, which is when a closed DB scheme pays an insurance company to provide members benefits via an annuity.
Any left over cash is then no longer needed to pay benefits and so has to go somewhere.

These new plans from RR, enable surpluses to be accessed much easier than before and importantly while the scheme is still paying out benefits itself. Which as you say, is potentially a recipe for disaster if the recent good times come to an end.

Personally I would much rather see the RMPP surplus stay exactly where it is for the time being and at some point in the future when we have a better idea of long term prospects, or when a buy out happens, distributed amongst scheme members.

The trustees do still have the final say on if, when or how much surplus is extracted and whether at least some of it could be used for the benefit of members.

[Wullie10]

It seems to me like your wife has discovered a "trapped" £20,000 surplus in a ISA you've been saving towards your retirement. She demands to spend the money on a 3 week cruise . Whilst spending the money will give a boost to the economy and would benefit you as a couple for 3 weeks. 5 years down the line the roof blows of your house and she tells you she didn't renew the insurance as it was getting expensive

[Hyrrokkin]

History repeats itself. Reeves plan sounds like
Thatchers pension holiday plan in the 80s. We'll obviously it isn't the same in that Royal Mail will still be paying into the plan , but the sentiment is there. Politicians again fiddling with pensions to get themselves out of a hole.

Thatchers government decided pension surpluses should be taxed, amongst other things, so some schemes took payment holidays to avoid that.
The one the RM took was a massive 13 years(1990-2003).

Thatchers pension changes: https://www.professionalpensions.com/fe ... d-pensions
RM's holiday: https://www.express.co.uk/news/uk/87061 ... sion-break and https://www.standard.co.uk/hp/front/the ... 41762.html

I don't understand how money can be "" trapped "" in a pension . It's ridiculous. That ""trapped"" money they want to get their hands on could some day be needed. If pension benefits are unable to be met then they are backed by the tax payer which is us. A pension fund is for the retirement of people who have paid into the system. Not a speculative gamble to see if they can create a surplus to hand out to shareholders.

Up to now, surpluses often became available to be redistributed following a buy out, which is when a closed DB scheme pays an insurance company to provide members benefits via an annuity.
Any left over cash is then no longer needed to pay benefits and so has to go somewhere.

These new plans from RR, enable surpluses to be accessed much easier than before and importantly while the scheme is still paying out benefits itself. Which as you say, is potentially a recipe for disaster if the recent good times come to an end.

Personally I would much rather see the RMPP surplus stay exactly where it is for the time being and at some point in the future when we have a better idea of long term prospects, or when a buy out happens, distributed amongst scheme members.

The trustees do still have the final say on if, when or how much surplus is extracted and whether at least some of it could be used for the benefit of members.

No wonder the new owner wants his greedy hands on RM
It is OUR money - it should ALL go to us - either by staying where it is or some kind of distribution among the paying members ie to pay a lump sum into a SIPP/PP etc etc. (or something along those lines)
I notice the only people who do not get a say on this are us the pension members !
I would like some kind of vote to decide what happens as this is a massive amount of OUR money.
Would Martin Walsh if he is reading this come on here and justify the theft of OUR money by RM & CWU.

[heapsy]

The pension holiday that RM took in the 80s, ultimately lead to the demise of the FS pension. These latest plans will mean a poorer retirement for us all. Hope the Liebour supporters have got a plan B.