Union challenges legality of Government’s pension decision

The FDA yesterday launched an application for a judicial review of the Government's decision to change the index for the uprating of public sector pensions from the retail prices index (RPI) to the consumer prices index (CPI).

In taking forward this legal challenge, the FDA is acting together with Prospect, the GMB, the Civil Service Pensioners' Alliance, the Police Federation and the National Association of Retired Police Officers.

On the basis of forecasts by the Office for Budget Responsibility (OBR), the switch would reduce the value of public sector pensions by 8.5% by 2017. Lord Hutton's Independent Public Service Pensions Commission has estimated that the reduction could amount to 25% over a lifetime.

FDA general secretary Jonathan Baume said:

"The decision to switch from RPI to CPI amounts to a considerable detrimental change, which the FDA is determined to oppose. It comes on top of an across-the-board pay freeze for our members and proposed increases to their pension contributions."

Press release
Union mounts legal challenge to ‘unacceptable’ pensions change 

FDA in the media
FDA general secretary on the Today programme - 16 April 2011