Since our initial posting on 30 May informing you of BT’s proposed benefit review, BT has been engaging with employees and the unions, including representatives from CWU and Prospect. BT has confirmed that no firm decisions or proposals have currently been made.
As part of the pensions review, BT is reviewing the use of RPI as the index for calculating increases to pensions in payment for Section C members. Any change would impact the future increases applied to pensions in payment for all members of Section C, including deferred and pensioner members.
BT has agreed with the Trustee that it will shortly seek clarity, through a court application, on whether it is possible, under the Scheme Rules, to change the index used for calculating increases to pensions in payment for Section C members.
Increases to pensions in payment for Section A and Section B are currently calculated by reference to CPI inflation. This will not be impacted by the court application.
We will write to all potentially impacted members in due course, once further information becomes available.