18 Feb 2019
The English and Welsh HE sector is facing increases of 44% on their employer contributions, the bulk of which will fall on modern universities. Modern universities are committed to ensuring that employees benefit from healthy, high quality pensions. However, with less than 12 months warning, no phasing-in period and no financial support in the offing, universities will face extremely tough financial decisions at a time when there are other significant uncertainties around funding and student demand. The government should consider transition arrangements and provide adequate funding support in terms of changes to the affected schemes, or suspend the changes pending a review of public service pension scheme valuations.