The 2018 Trustee newsletter is now available and can be found on the Useful documents page. Members will receive a copy in the post over the next few weeks.
Are you looking to make a change to your regular additional voluntary contribution (AVC) payments in this tax year?
BT has sent an update to all active members of the Scheme giving information about the outcome of the employee consultation.
BT to appeal recent High Court judgment regarding BT’s ability to change from RPI to another index for the purpose of calculating future pension increases for Section C.
The High Court has published its judgment regarding BT’s ability to change from RPI to another index for calculating Section C pension increases.
Members will be aware, on privatisation of BT in 1984, the Government provided a guarantee to the BT Pension Scheme. The Court of Appeal decision given on 14 July 2014 clarified that the ‘Crown Guarantee’ (as it has come to be known) is only relevant on a winding up of BT plc and, in such circumstances, would cover BT plc’s obligations under the Trust Deed to ensure the Scheme has sufficient funds to pay the accrued benefits (other than some exclusions in relation to certain aspects of the Scheme’s liabilities). It is important to stress that the Crown Guarantee does not cover the liabilities of the Scheme itself and/or the benefits of individual members. Rather it relates only to the obligations of BT plc to the Scheme as a whole and consequently, the Crown Guarantee only remains in place for as long as, and to the extent that, BT plc itself continues to have the obligation to support the Scheme.
The Crown Guarantee is, without doubt, a significant protection for members of the Scheme in the event of the winding up of BT plc, and the clarity provided in the Court of Appeal judgement is helpful in understanding the scope, effectiveness and applicability of the Guarantee.
Please select from section A, B or C
For members who joined the Scheme before 1 December 1971
For members who joined the Scheme before 1 December 1971 and 31 March 1986
For members who joined the Scheme on or from 1 April 1986 but before the Scheme closed on 31 March 2001