This item was published during the term of a previous administration that ended in April 2007
Listen
Pay out for transport pensioners
05/09/2002
Thousands of former transport workers across Scotland have received lump sum payments and more are to be made during September, it was announced today.
Deputy Minister for Enterprise, Transport and Lifelong Learning Lewis Macdonald confirmed in Parliament that the process of distributing initial payments from the £126 million from the Scottish Transport Group's (STG) surplus funds to members is progressing.
Letters with payment details were sent to 14,000 former STG employees last month and a series of weekly payments started last week, with over 2,500 members receiving a lump sum payment at the weekend.
Scottish Ministers have successfully negotiated to keep £126 million from the Scottish Transport Group's pension fund surpluses for distribution to pensioners. The funds are being paid out as ex-gratia payments to all former STG members, over and above current pension entitlements. Payments will be in proportion to each person's pension, or pension entitlement.
The Minister met with a number of former transport workers at the Parliament and discussed the process undertaken to make payment.
Mr Macdonald said:
"I am pleased to confirm that the process of making payments is well under way - these lump sums will make a significant difference to the lives of thousands of pensioners across Scotland.
"The Executive has worked hard to get this money to people as quickly as possible, and our advertising campaign targeting former STG members who had not contacted the Executive has resulted in a huge number of people coming forward. This means that we are on target to ensure that all the money gets to those who are eligible."
The Executive's aim is to process all returned forms by the end of September - by then approximately 12,000 payments will have been made.
Surplus from the Scottish Transport Group was due to be returned to the UK Exchequer under the rules of the Scottish schemes. Scottish Ministers secured agreement with the Treasury to distribute £126m of the surplus to pensioners.
Approx 12,700 statements were issued last month detailing the forthcoming payment, and requesting confirmation of eligibility and data. Approx 10,500 forms were returned confirming these details, and 2584 people received payment last weekend.
Payments are made via bank transfer.
Records show a total of 13,300 potential people eligible to claim.
Individuals who believe that the STG Pension Schemes might not hold details of their current address are invited to write to the SPPA at the following address: Scottish Public Pensions Agency, STG
PO Box 13325
HAWICK
TD9 9YQ
The following details should be provided: full name, pension scheme, National Insurance number, date of birth and current address and telephone number.