Almost 40,000 former miners are set to receive a significant increase of £100 per week in their pensions, starting today. This boost, representing a 41% payment rise, follows years of advocacy for surplus funds in the British Coal Staff Superannuation Scheme (BCSSS) to be distributed to members.
The move comes after Chancellor Rachel Reeves announced in the Budget that the government has released the £2.3 billion reserve, previously held since 1994, back to BCSSS members. As part of this initiative, affected individuals will also receive a one-time lump sum of £5,500 today, backdated to November 2024 when the Mineworkers’ Pension Scheme saw an increase.
The BCSSS scheme benefits not only former coal miners but also those who held non-mining positions at collieries throughout the UK, including engineers, managers, canteen workers, and administrators. Approximately 40% of the around 40,000 BCSSS members are women. Last year, the government transferred £1.5 billion to Mineworkers’ Pension Scheme members.
Secretary of State for Energy and Net Zero, Ed Miliband, commended the efforts of mineworkers and campaigners in rectifying this long-standing issue. He expressed satisfaction that many will now receive a 41% pension rise just ahead of the holiday season, ensuring they have a well-deserved retirement.
Cheryl Agius, Chair of Trustees of the British Coal Staff Superannuation Scheme, described the development as historic, marking a turning point for the Scheme after a year of persistent efforts. She acknowledged the government’s responsiveness to the Trustees, Scheme members, and supportive Coalfield MPs, leading to the transfer of the investment reserve to members. The increase aligns BCSSS members with their counterparts in the Mineworkers’ Pension Scheme, who received their investment reserve last year.
The Trustees extended gratitude to members for their pivotal role in raising the issue with the government over the past twelve months, emphasizing the importance of their support in achieving this positive outcome.