First Great Western Section of the Railways Pension Scheme – 2013 Actuarial Valuation

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My Ref: MRP 1/8/42                                   3rd October 2014
 
                                            Circular Num: NP/196 /14
To: The Secretary All Branches & Regional Councils

Dear Colleagues,

First Great Western Section of the Railways Pension Scheme – 2013 Actuarial Valuation

Following the 2013 triennial actuarial valuation of the First Great Western (FGW) shared cost section of the Railways Pension Scheme (RPS), the results reveal a deficit of £39.1 million with a funding level of 94.0%.

The scheme actuary advises that maintaining the Joint Contribution Rate (JCR) at its current level is expected to see the section being fully funded by 31st March 2025, two years and three months ahead of schedule.  Therefore the employer is proposing the following:

•    That the JCR remains at its present rate:

o    Member 10.64% / Employer 15.96%

•    No benefit changes

Further the FGW Pensions Committee discussed the valuation results on 23rd June 2014 and are recommending acceptance of this proposal.

The General Grades Committee noted and adopted the following report on 3rd October 2014:

“We note that the employer is proposing to maintain the Joint Contribution Rate at its current level so that the section is fully funded by 31st March 2025 and no changes to benefits.  

We further note the recommendation of acceptance of this proposal from the First Great Western Pensions Committee.

Therefore we instruct the General Secretary to inform the company of the General Grades Committees acceptance of this proposal.

Branches and Regional Councils to be informed.”

I will keep you informed of any developments.

Yours sincerely,


 

Mick Cash
General Secretary