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PARLIAMENTARY DEBATE
Defined-benefit Pension Schemes - 19 June 2023 (Commons/Commons Chamber)

Debate Detail

Contributions from Laura Trott, are highlighted with a yellow border.
Con
Nigel Mills
Amber Valley
15. What recent assessment he has made of the adequacy of funding for defined-benefit pension schemes.
  15:07:36
Laura Trott
The Parliamentary Under-Secretary of State for Work and Pensions
The Pension Protection Fund publishes data on the funding of defined-benefit pension schemes. Average funding of the schemes was 113.1% in 2022 versus 104.3% in 2010—a significant improvement.
  15:08:08
Nigel Mills
Does the Minister accept that we have spent 20 years—probably quite rightly—working out how we get more money into pension schemes to pay for the promise, and that now we need to work out what we do with the money in there that is in excess of what we need? Does she accept that in those 20 years we have seen pension funding increase probably at the expense of current workers, who get a much lower pension? Is there anything we can do to use the surplus to support the pension incomes in retirement of those current workers who will get a far less generous pension?
Laura Trott
As I would expect from a member of the Work and Pensions Committee and the head of the all-party parliamentary group on pensions, my hon. Friend makes an interesting point. In my time as pensions Minister I have tried to reduce the gap between DB and defined contribution pensions. I would be interested to talk to him about any further suggestions.
Lab
Nick Smith
Blaenau Gwent
Clear, accessible pension schemes information was a priority for former Chancellor George Osborne in 2016, but the pensions dashboard programme has consistently missed its deadlines to go live. This month the Minister announced a further delay, with a new connection deadline of October 2026. Could she please explain this consistent failure to meet delivery dates?
Laura Trott
We are absolutely committed to the pensions dashboard programme. October 2026 is the final deadline for connection, not the point that it is necessarily available to the public. The dashboard availability point could come earlier than that, and I hope that it will.

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