The majority of Mineworker pensions in the UK are Defined Benefits pensions, often referred to as Final Salary schemes.
They are considered very valuable and rare pension schemes, as they usually come with benefits such as a guaranteed income in retirement and cost nothing extra to the scheme member to run.
They may also include death in service benefits, paying up to 50% of a pension to a spouse if the scheme member dies before drawing it.
These schemes are also considered relatively safe as they are protected by the Pension Protection Fund for up to 90% of their value.
The Mineworkers’ Pension Scheme (MPS) is one of the largest pension schemes in the UK with over 178,000 members. The British Coal Staff Superannuation Scheme (BCSSS) ran until 1994.
Mineworkers were another group of public sector workers who were targeted and encouraged to transfer their pensions into private schemes, such as SIPPs.
Whilst these private pension schemes may have the potential to earn more money, they come with less of the guaranteed benefits and more risk and responsibility for the pension holder.
While there are some rare circumstances where a Mineworker’s Pension transfer might be deemed suitable, many transfers will have been unsuitable and down to the negligence of a Financial Adviser. This may have left pension holders worse off.
If you were advised to transfer from your BCSSS or MPS pension scheme and have concerns about that advice, then you might be wise to get it checked.
We offer a free assessment to establish if mis-selling has occurred and if you may be due compensation. There’s no obligation to use our service.
You are not required to use our services to pursue your claim. You can also seek further advice or shop around subject to any time limits within which a claim must be made.
It is possible for you to present the claim for free, either to the firm or person against whom you wish to complain or to the statutory ombudsman (Financial Ombudsman Service or Pension Ombudsman Service) or the Financial Services Compensation Scheme, whichever is applicable to your claim.