GMP Equalisation: Next steps for pension schemes and employers
The High Court judgment in the Lloyds case has confirmed overall pension benefits need to be adjusted to remove inequality in Guaranteed Minimum Pensions. This will mean higher benefits and increased costs for employers. While it will take many months and years to allow for this, employers are required to recognise the cost now.
We summarise how employers can avoid overestimates and play an active role in ensuring the lowest possible cost while removing complexity for good.