Over 19,000 former mineworkers across the East Midlands will today receive a boost to their pensions – with people seeing an average of £29 extra in their weekly payment.
They will be part of over 100,000 people to receive the payment following the Government’s reversal of a historic injustice, leading to £1.5 billion being transferred to their pension scheme last month.
Former mineworkers will receive the cash in their pockets today, ensuring that former pit workers who powered the country for decades finally receive the just rewards for their labour.
The uplift represents an average 32 per cent rise in the annual pensions of nearly 112,000 former mineworkers and their dependants across the UK – an average increase of £29 per week for each member.
Secretary of State for Energy Ed Miliband said:
“This Government has kept our promise to return money rightfully owed to the ex-miners and their families – and today, thousands of people will receive the money they deserve in their pensions as a result.
“Today marks the end of a decades-long injustice that has denied thousands across the country the decent pensions they so undeniably deserve.
“We have delivered on our promise to right this wrong, and I hope members and their families are able to enjoy the victory they have waited far too long for.”
The Trustees of the Mineworkers’ Pension Scheme said:
“This month marks a historic milestone for the members of our Scheme, with the first instalment of pension resulting from the recent Investment Reserve transfer being paid. As Trustees, we’re delighted that we’ve been able to get this extra money into our members’ pockets so quickly.
“This has been made possible due to the swift action of the Government in making good on its manifesto commitment but also as a result of the hard work of the team that supports the Scheme.
“We would also like to thank again the many members and MPs who have shown support for the Scheme on this matter over the years. We are now looking forward to discussing our Scheme’s surplus sharing arrangements with the Government in the coming months and sharing the outcome with our members as soon as we can.”
The Energy Secretary and Minister for Industry, Sarah Jones, met members and trustees of the scheme in October at the National Union of Mineworkers’ headquarters in Barnsley, after the Government delivered on a longstanding campaign request from ex-pit workers to transfer the investment reserve of the Mineworkers’ Pension Scheme back to members.
When British Coal was privatised in 1994, the Government agreed to take half of any surplus generated by the pension scheme, in return for a guarantee that pensions would increase in line with inflation.
The investment reserve fund was set up using profits from the scheme in 1992, to provide a buffer in case the Mineworkers’ Pension Scheme went into deficit. This money was due to be returned to the Government in 2029.
The Government is now conducting a review of the surplus-sharing agreement with the scheme trustees – ensuring miners and their families benefit for years to come, with next steps to be set out in the coming months.
After delivering on the commitment for the Mineworkers’ Pension Scheme, the largest pension scheme for miners in the UK, the Government has committed to review any proposals set out by the Trustees of the British Coal Staff Superannuation Scheme – the pension scheme for former pit managers, which is run on a different basis as the Government takes no money from any surpluses.
In keeping homes warm and powering industry, mineworkers were the backbone of the country for decades.
Since July, the Government has accelerated Britain’s transition, committing unprecedented investment in homegrown clean energy. To support workers, the Government has also set up the Office for Clean Energy Jobs to help the next generation of skilled workers access UK-wide job opportunities that the Government’s clean energy superpower mission will help create.
Action includes lifting the ban on onshore wind, setting up Great British Energy, announcing a partnership with The Crown Estate to accelerate offshore wind projects, approving four major solar farms, launching the Clean Energy Mission Control centre led by Chris Stark, securing a record pipeline of renewable projects in the latest auction, and launching the UK’s first carbon capture sites.
Number of mineworkers to benefit from the pension increase by area:
Derbyshire
- 3,501 in Bolsover
- 1,484 in North East Derbyshire
- 1,295 in Chesterfield
- 1,141 in South Derbyshire
- 772 in Amber Valley
- 323 in Erewash
- 139 in Derbyshire Dales
- 106 in Mid Derbyshire
- 61 in Derby South
- 43 in Derby North
- 18 in High Peak
Nottinghamshire
- 3,950 in Mansfield
- 2,415 in Bassetlaw
- 738 in Gedling
- 596 in Broxtowe
- 514 in Rushcliffe
- 227 in Nottingham North & Kimberley
- 14 in Nottingham South
- 10 in Nottingham East
Leicestershire
- 1,529 in North West Leicestershire
- 52 in Leicester West
- 103 in Loughborough
