The Trustee is aware of the High Court judgment on the Lloyds Bank case, which looks at ensuring that members who receive Guaranteed Minimum Pensions (GMPs) get the same benefits, regardless of gender
A GMP is the minimum benefit that must be provided by a pension scheme to a member who had been contracted out of the State Earnings-Related Pension Scheme (SERPS) between 6 April 1978 and 5 April 1997.
The equalisation between genders required under the Lloyds judgment would apply to GMPs earned after 17 May 1990.
The Railways Pension Scheme was contracted out of SERPS throughout the period from 17 May 1990 to 5 April 1997, and Scheme members with pensionable service during this period have GMPs. Therefore, any final Lloyds ruling will be of relevance to the Scheme.
The Trustee welcomes the recent clarity as this is a longstanding and complex issue which the Trustee has been monitoring closely.
The Trustee’s focus is to pay members’ pensions securely, affordably and sustainably and to act in the best interests of all members, regardless of gender.
We will be working closely with our advisers to monitor the case and any appeal that may follow to assess any implications for members and, if necessary, identify any appropriate action that may be required.