Superannuation Bill

Memorandum submitted by Simon Dove (SU 62)

I am 5 1 year s old , turning 52 early in 2011 and a PCSPS Scheme member.

I entered the civil service through the Northern Development Company, an organisation set up to deliver critically needed inward investment to the region during the 1990’s. When R egional D evelopment Agencies were formed in 1998 the Northern Development Company was subsumed in to the RDA in the North East, One North East. Prior to this I my career spanned a number of companies across the private sector in chemicals, telecoms and process industries.

I am contacting you to advise you th at the Superannuation Bill if passed as it stands will result if personal difficulties for me and my family going forward.

The proposals as they are currently set out will result in a reduction of two th irds of my existing entitlement . In addition, with the introduction of this Bill, my pension will not become payable until I am 60. If I had bee n made redundant before this bill, I would have effectively been given my full pension immediately which would have offset future financial difficulties. Obviously I will be making considerable effort to find work. However, having being in the public sector for around 15 years, finding private sector jobs will be very difficult. Alternative public sector employment opportunities will be limited also given the current purge on jobs.

A t the age of 60, when my ‘works’ pension becomes payable this will be substantially reduced from that which I have been building and planned for. However, I will have neither time or opportunity to make alternative arrangements to cover the substantial losses now expected. I understand that I will be taxed on my works pension also, yet I will not be eligible to re ceive any form of state benefit in the interim period should I not be able to find employment.

Consequently, as a result of the Bills removal of what are considered to be accrued rights, I will be facing severe  financial hardship through no fault of my own. I would appreciate you guidance on the matter.

September 2010