FAQs

Frequently Asked Questions

Frequently asked questions on the USS 2020 valuation and JNC decision

1. Does the latest USS Trustee monthly report mean the recent reforms are not necessary, or a new valuation could be performed?
 

2. Will employers consider the UCU’s alternative proposal?

 
3. Will the university support the deferral of the 2.5% cap on inflationary increases to pension benefits contained in the employers’ proposal?
 
4. At the JNC did UCU table their own proposal for changing the scheme? 
 

5. Why did employers not agree to a further one-month extension of the JNC discussions as proposed by the UCU?

 

6. What do you say about the UUK proposal leaving staff ‘one third worse off’?

 
7. Did UUK withdraw employer covenant support when UCU suggested scheme reform?
 

8. What do you think about claims that UUK’s proposal for changing the scheme poses a ‘serious risk’ to members’ pensions?

 
9. How have employers moved during discussions over the valuation?
 

10. Why can’t UUK and UCU agree on a way forward for the 2020 valuation?

 

11. What will be the impact on employers of providing the proposed covenant support?

 

12. What sort of governance reform do employers want to see?

 

13. Now the USS Trustee has accepted the JNC's decision, will the USS Trustee implement its plans for contributions increases in October 2021 and April 2022?

 

14. Are employers supporting Conditional Indexation (CI) and how long before it can be implemented?

 

15. What will be the impact of the UUK proposals on scheme member benefits?

 

16. Do you believe that the 2020 valuation methodology is flawed and Universities UK (UUK) and the University and College Union (UCU) could have done more to stop this methodology being used?

 

17. Do you support moves to take legal action against the USS Trustee?

 

18. What is happening with the difference between the USS Trustee’s pricing of the UUK proposal, which is 0.5% higher than the current level of combined benefits?

 

19. Are employers willing to pay higher salary contributions than the current level of 21.1%?

 

20. Why can universities in the Teachers’ Pension Scheme (TPS) afford to pay in more than employers in USS?

 

21. Why are staff costs at a low of 52% of expenditure, yet employer income has risen by 38% in the last decade?

 

22. Why are universities unable to pay more into pensions while their reserves have grown (£49 billion in 2017/18, more than triple the figure in 2009/10)? 

 

23. With better levels of student recruitment than expected at the height of the pandemic, universities must be able to pay more into USS?

 

24. Do employers favour scrapping the 2020 valuation in favour of one at March 2021?

 

25. Did employers previously budget for higher contributions from October 2021?

 

Who is involved in changes to the USS pension scheme?

USS

 

The Pensions Regulator

 

Universities UK (UUK)

 

University and College Union (UCU)

 

Joint Negotiating Committee