Today is a famous day for pensions as it’s the day Royal Mail’s Collective Plan finally got its launch date.
Every Royal Mail worker, with at least one year’s service, will have equal access to the company’s Collective Plan from 7th October, when a scheme that the union and the business have worked together on for several years officially opens…
Collective pensions are a new type of scheme, and this will be the first of its kind in the UK, having required specific legislation to introduce it. Potential new RMG owners EP Group have also committed to supporting the new scheme going forward, via the legal undertakings they have provided
CWU assistant secretary Andy Furey and Midlands divisional representative Paul Kennedy were joined by Royal Mail’s Angela Gough and Emma Weston Green – respectively, the company’s group director of pensions and head of the Collective Plan – in Birmingham last week for the first divisional training session to CWU area representatives.
Speaking after the event, Andy told CWU News:
“We’ve been waiting a long time for this positive development and we welcome the establishment of this new innovative Collective Pension Plan, which will provide a quality scheme for all, right across Royal Mail Group”.
Angela Gough said:
“This is the future of pensions in Royal Mail and the first of its kind in the UK. We’ve worked hard together with the CWU and Unite/CMA to make it possible and I’m delighted that it’s ready to launch in October.”
And Emma added:
“We’re operationally ready to run this scheme from 7th October – the Trustee is ready and excited to get started. It’s one scheme for all.
CWU Deputy General Secretary Postal (DGSP) Martin Walsh said:
“This news is welcomed. The new Collective Pension Plan will allow all Royal Mail members to join one scheme. This scheme will be an improvement on those who are currently in a defined contribution, and we believe based on the research will also benefit all other members”.
The launch of the plan was celebrated at the Pension PlayPen coffee morning as was other news emanating from the Treasury.
In other news
The chancellor Rachel Reeves launched a £7.3bn national wealth fund, as part of a drive by the newly elected Labour government to attract billions of pounds of private sector cash for major infrastructure projects across the UK.
The NWF, which Reeves said would be established “in less than a week”, is designed to help the likes of ports, gigafactories, hydrogen and steel projects attract a mix of investment, aiming for roughly £3 of private funds for every £1 of taxpayer cash.
Reeves told reporters that the fund would essentially operate as a “concierge service for investors and businesses that want to invest in Britain, so they know where to go”.
The investments will then be managed by the existing UK Infrastructure Bank, headed by ex-HSBC chief executive John Flint, with support from the British Business Bank, which ran the Covid business loan schemes.
Reeves made the announcement at 11 Downing Street on Tuesday, after meeting with top City bosses who made up specialised taskforce spearheading the project. Participants included Aviva CEO Amanda Blanc, NatWest chief executive Paul Thwaite, and Barclays CEO CS Venkatakrishnan and former Bank of England governor Mark Carney.
As I sipped my coffee I thought – we are getting there
