Pensions report confirms schemes are affordable and sustainable

8 Dec 2010 01:25 PM

An authoritative report published today, that confirms recent changes to public sector pensions have made schemes affordable and sustainable, has been welcomed by PCS.

Analysis by the National Audit Office says changes in 2007/08 to pensions, including those of civil servants, are on course to deliver savings to the taxpayer and stabilise costs as a proportion of national wealth.

The findings follow Lord Hutton’s interim report into public sector pensions published in October, which said that the overall cost of ‘unfunded’ schemes, such as in the civil service, is expected to fall from 1.9% of gross domestic product in 2010/11 to 1.4% by 2060.

PCS general secretary Mark Serwotka said: “This report provides further proof that when ministers talk about ‘unreformed’ and ‘unaffordable’ pensions, they either do not understand their government’s own schemes or they're being economical with the truth.

“We have shown a willingness in the recent past to negotiate fair changes, but we will not accept a fresh ideological assault on our members’ pensions under the guise of necessity, when the evidence shows no such necessity exists.”

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