Oral Answers to Questions

Debate between Torsten Bell and Nia Griffith

Monday 27th October 2025 Commons Chamber

[The Parliamentary Under-Secretary of State for Work and Pensions (Torsten Bell)]

I obviously recognise the challenges facing those without inflation protection, particularly after the cost of living pressures of recent years, and I think that recognition is shared by Members on both sides of the House. I met a cross-party group of MPs earlier this year to discuss exactly this issue. Reforms in the Pension Schemes Bill give trustees more flexibility to share surpluses in their DB pension schemes with employers, and to negotiate for members to benefit from any such sharing of surpluses. That could include discretionary increases to address the issue raised by my hon. Friend the Member for Llanelli (Dame Nia Griffith).

[Dame Nia Griffith]

As a result of the efforts of pensioner associations, we know that there have been unintended consequences of the Pensions Act 1995, which made it legal to stop payment of indexation to the pre-1997 pensioners of successful multinationals such as 3M and Hewlett Packard Enterprise, who, having been recruited with the promise of index-linked pensions, are now suffering hardship. Their pensions have already been frozen for at least 15 years, despite healthy funds and trustees’ pleas. What will the Minister do to stop this dishonourable practice, so that these companies deliver the financial security that they promised?

[Torsten Bell]

I absolutely recognise the issue that my hon. Friend has raised: any of us in that situation would want those pension increases to continue. She is aware of the legal background, but I should point out that scheme rules govern when inflation-linked increases can be paid. They are not changed retrospectively, but the Pensions Regulator has spelt out that trustees should consider those who are not receiving inflation-linked increases when making their decisions, and should also consider the history of making such awards—particularly in some of the examples that my hon. Friend has given. As I have said, I think that the provisions in the Pension Scheme Bill give trustees more power to argue for those increases.

Oral Answers to Questions

Debate between Torsten Bell and Nia Griffith

Wednesday 11th September 2024 Commons Chamber

[The Parliamentary Under-Secretary of State for Wales (Dame Nia Griffith)]

This Government’s No. 1 mission is to kick-start economic growth across the United Kingdom. Wales can be at the forefront of that mission, with renewable energy, advanced manufacturing, our vibrant creative sector, fintech and the life sciences each offering huge opportunities to create jobs and drive growth.

[Torsten Bell]

I thank the Minister for her answer and congratulate her on her appointment. Welsh universities are central to economic growth in many of our communities, but these are difficult times: Swansea University has already seen 200 voluntary redundancies, and many more are happening across Wales. Our universities are affected by decisions of the Welsh Government as well as those of the UK Government, so can the Minister update the House on how the two Governments will work together to nurture those crucial institutions?

[Dame Nia Griffith]

I welcome my hon. Friend to his place, and am very sorry to hear about the recent redundancies at Swansea University. Only last week, the Secretary of State and I met with Professor Paul Boyle, vice-chancellor of Swansea University and chair of Universities Wales, to discuss the challenges facing Welsh institutions and ways of supporting the higher education sector in Wales. We recognise that Welsh universities, including Swansea, have a huge contribution to make, both to our mission of growth in the economy and within their local regions. Colleagues at all levels in the UK and Welsh Governments are working closely together to safeguard those universities’ potential amid the difficult economic circumstances we have inherited.