Royal Mail pension news and discussion.Please note the advise given in this forum is unofficial, please use the links we have for a more detailed response or see an independent financial adviser.
Hi.. is there saying how much the,sum will be for its members.. I took my pension this,year.. im 55..
There's a few questions to be asked before that one!
1. How much is the surplus?
2. How much of it will be released?
3. Will the members actually get any?
4. If they do, who will be eligible and what are the qualifying details?
1. A very good question
2. Preferably all of the surplus with none syphoned off, we can decide to save, invest in shares or put it toward another AVC.
3. I should think so as we paid into the scheme.
4. Only those who have been members and paid into should get it , no new member of staff who paid nothing toward it should get it at all, it would be very unfair if newbies get all the free money without contributing toward it.
1. The most recent(2025) RMPP report and accounts say the surplus amounts are £0.984 billion for the pension(down from 2024 figures) and £57 million for the Cash Balance.
2. It'll depend on what the plans are for the scheme. If it's buy out, then all of the surplus is potentially on the table. If it's to continue running on as now, I would hope it wouldn't be all of it.
3. The RMPP rules say members aren't entitled to any surplus. But considering it's a lot more than planned and it increased by accident more than design, I think it's reasonable that members who have paid in should get a share.
4. In my opinion the fairest is pro rata based on benefits accrued, with a taxable cash lump sum being the most likely payment method.
As it's a defined benefit pension it's illegal to hand the members any of the surplus which is why the CWU want it moved into the Employee Collective Benefit Trust instead of the company getting it or taking a pension holiday.
It's not illegal at all. It comes down to the rules of the individual scheme.
RMPP rules currently say members don't get any.
They can be changed, but whether that happens remains to be seen.
The agreement made with the company is for 'agreed funds' to be put in the ECBT. But there is no mention of amounts or percentages.
This is what the CWU say:
There has been a real fear that EP Group would, at some point, look to access the pension surplus that exists to pay out to shareholder(s). We have addressed this concern.
EP has agreed not to access the pension surplus and instead it has been agreed to split this between investment into Royal Mail and for the benefit of employees, with agreed funds to be distributed into the Employee Collective Benefit Trust. This is not likely to happen in the short term, but we have the security we need in place.
Hi.. is there saying how much the,sum will be for its members.. I took my pension this,year.. im 55..
There's a few questions to be asked before that one!
1. How much is the surplus?
2. How much of it will be released?
3. Will the members actually get any?
4. If they do, who will be eligible and what are the qualifying details?
1. A very good question
2. Preferably all of the surplus with none syphoned off, we can decide to save, invest in shares or put it toward another AVC.
3. I should think so as we paid into the scheme.
4. Only those who have been members and paid into should get it , no new member of staff who paid nothing toward it should get it at all, it would be very unfair if newbies get all the free money without contributing toward it.
1. The most recent(2025) RMPP report and accounts say the surplus amounts are £0.984 billion for the pension(down from 2024 figures) and £57 million for the Cash Balance.
2. It'll depend on what the plans are for the scheme. If it's buy out, then all of the surplus is potentially on the table. If it's to continue running on as now, I would hope it wouldn't be all of it.
3. The RMPP rules say members aren't entitled to any surplus. But considering it's a lot more than planned and it increased by accident more than design, I think it's reasonable that members who have paid in should get a share.
4. In my opinion the fairest is pro rata based on benefits accrued, with a taxable cash lump sum being the most likely payment method.
We as members paid into this scheme - we must be entitled to a share if it comes to it.
Who decided that in the event of a surplus payout we the actual members who paid into the scheme are not entitled to anything....disgrace and wrong on so many levels.
We must get a fair share - which we the actual members of the scheme decide how it is paid out not the CWU.
If CWU just fold & don’t back members on this,then can definitely see many looking at it as final straw and coming out of union 100%
The vast majority of members do not even know there is a deficit or what is happening or could happen next year.
All behind their backs.
I urge members here to spread the word and tell fellow workers what is happening.
This is going to be a big issue next year when this likely comes to a head.
Martin Walsh if you are reading this why not come on here and argue the CWU case and answer a few points.