Guernsey pension changes could follow UK review

Deputy Allister Langlois Allister Langlois said public sector workers in Guernsey already paid higher pension contributions

Related Stories

Guernsey's public sector pension schemes are expected to come under pressure following a UK review.

Lord Hutton has recommended UK employees work longer and receive pensions based on career earnings rather than their final salary.

Allister Langlois, the chairman of the Pensions Consultative Committee, said this had "considerable significance".

"There will be pressure and interest in changing the basis from final salary to possibly career average," he said.

Public sector workers in the UK are threatening strike action if the government goes ahead with the plans, which could come into force in 2015.

However Mr Langlois said Guernsey was in a better financial position when it came to funding its public sector pension scheme.

"The big difference is that we have a fund behind it," he said. "We have saved up a load of money which actually pays for current pensions and it's a funded scheme.

"Our members pay 6.5% of their salary already, towards the pension scheme and that is higher than both the UK and Jersey."

More on This Story

Related Stories

The BBC is not responsible for the content of external Internet sites

BBC Guernsey

Weather

Guernsey Airport

16 °C 14 °C

Features

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.