Ombudsman’s Determination

Outcome

 Ombudsman’s Determination

Outcome

I do not uphold Ms D’s complaint, and no further action is required by the Company, Mercer Limited and the Trustees.

My reasons for reaching this decision are explained in more detail below.

Complaint summary

her deferred pension under the Scheme is being revalued at a different rate than the Company and Mercer Limited advised her in 1993 and 2002, respectively; and

Ombudsman’s Determination

Outcome

I do not uphold Mr R’s complaint and no further action is required by the Trustees.

My reasons for reaching this decision are explained in more detail below.

Complaint summary

Mr R’s complaint is that he is unhappy that the Trustees switched from using the Retail Prices Index (RPI) to the Consumer Prices Index (CPI) as the basis for pension increases. In addition, he is unhappy that the Trustees failed to inform him that this change would be made.

Ombudsman’s Determination

Outcome

I do not uphold Mr L’s complaint and no further action is required by the Trustee.

My reasons for reaching this decision are explained in more detail below.

Complaint summary

Mr L’s complaint is that over the last three years, annual increases to his pension benefits have not been calculated in line with the Plan’s rules.

Ombudsman’s Determination

Outcome

I do not uphold Mr R’s complaint and no further action is required by the Trustee.

My reasons for reaching this decision are explained in more detail below.

Complaint summary

Mr R has complained that the Scheme is changing the annual increases from the RPI inflation rate to that of the CPI rate. He would like the Pensions Ombudsman to investigate and decide if the Trustee is allowed to do this.

Ombudsman’s Determination

Complaint Summary

Mr R’s complaint concerns revaluation changes made by the Trustee. He considers that the Trustee cannot make such changes to benefits he has accrued without his consent, as these form part of his subsisting rights. He says that the amended method of revaluation which applies to his accrued benefits as an active member is less generous than that which applies to deferred members of the Scheme.

Summary of the Ombudsman’s Determination and reasons

The complaint is not upheld against the Trustee because:-

Ombudsman’s Determination

Complaint summary

Mr R’s complaint concerns the Trustee’s decision to change the index used to calculate annual increases on his Scheme benefits.

On 29 September 2016, the Trustee announced that it intended to increase Scheme benefits annually going forward based on the consumer prices index (CPI), rather than the more favourable retail prices index (RPI). The consequence of the change of index is that Mr R’s annual pension increase is likely to be lower.