This summer, the USS pension trustees presented a proposal to conclude the 2018 valuation. The rises in member and College contributions are broadly in line with the first phase report from Joint Expert Panel (JEP), created by UCU and UUK. The College will pay a higher share of the proposed increase (65:35) with salary contributions of 21.1% for the College and 9.6% for members. This split is in line with previous agreements on contribution increase. Implementation of the proposal means that the current levels of benefits are retained; there will be increases in payments made, but at a lower level for employees and employers than the original proposal based on the 2017 valuation.
Both USS pension members, and institutions will be asked to pay more in contributions in the next month or two. As a College, we know that the proposed rise in contributions is unwelcome news for members and for the impact on the College’s finances. However, this increase is below what would have occurred without the work of the JEP and provides time for the second phase of the work of the JEP to look at the longer-term sustainability of scheme. We will keep colleagues informed when the details are confirmed. You can read more on the proposal details here.