UUK response to UCU analysis on USS benefits

4 Sep 2019

Responding to new analysis published by the University and College Union (UCU), a Universities UK spokesperson said:

“Since 2011, the cost of providing defined benefit pensions has risen because people are living longer, and the economic environment has fundamentally changed. Scheme members will realise that winding the clock back to 2011 and freezing the scheme in time is just not credible.

“Compared with 2011, employers are now paying more than £400 million extra per annum into USS – having increased their contributions from 16% to 21.1% of salary from October 2019. This is far more than most other private pension schemes. This seems to be completely absent from the analysis.

“Crucially, members will keep their current benefits, which in monetary terms are more valuable than ever given the increased cost of providing pension promises.

“Two weeks ago UCU negotiators rejected an offer of lower member contributions; there is still time for the unions to consult their members on it.”