Corby steel pensions could be subject to change

Steel workers in Corby could be affected by Government plans to consult on changes to the Tata pension fund.

Thursday, 26th May 2016, 9:29 am
Updated Thursday, 26th May 2016, 10:33 am
Tata Steel, Corby.

Ministers are thought to be considering ‘all options’ in relation to the firm’s £15bn UK pensions liabilities, which include most of the 600 steel workers in Corby.

The government believes the fund will be a stumbling block in any deal to sell on the troubled Indian firm’s steel assets in the UK.

Business secretary, Sajid Javid, is currently in Mumbai to talk to Tata bosses.

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It is thought that there will be a consultation on legal changes that could enable a complete restructuring of the Tata pension fund

A Department for Business, Innovation and Skills spokesman said: “We are exploring all options and engaging with Tata and other interested parties in order to see what support government can provide.”

But shadow work and pensions secretary, Owen Smith, said: “Steel workers’ pensions must be protected, they’ve earned them with hard graft over many years,”

“So if ministers are considering measures which might see those pensions reduced, MPs from all parties, especially those representing steel communities, will want a chance to question the plans, along with the trade unions who are playing such a vital and impressive role standing up for Tata workers.”