NAO report 'destroys the government's case' for public sector pension cuts

8 Dec 2010 11:23 AM

Commenting on a report published yesterday by the National Audit Office (NAO) on public sector pensions, TUC General Secretary Brendan Barber, said:

'This report destroys the government's case for savage cuts to public service pensions.

'The NAO analysis does not even take into account the new government's decision to link future pension increases to the lower CPI measure of inflation rather than the traditional RPI indicator.

'Independent research shows that this move will slash 15 per cent from the value of pensions. Yet the NAO research shows that pension costs are under control without the change to the CPI link, and asks the government hard questions about whether pensions are doing enough to recruit and retain staff. '

NOTES TO EDITORS:

- All TUC press releases can be found at www.tuc.org.uk

- Register for the TUC's press extranet: a service exclusive to journalists wanting to access pre-embargo releases and reports from the TUC. Visit www.tuc.org.uk/pressextranet

Contacts:

Media enquiries:
Liz Chinchen T: 020 7467 1248 M: 07778 158175 E:
media@tuc.org.uk
Rob Holdsworth T: 020 7467 1372 M: 07717 531150 E: rholdsworth@tuc.org.uk
Elly Gibson T: 020 7467 1337 M: 07900 910624 E: egibson@tuc.org.uk