Changes to public sector pensions outlined in Lord Hutton's recent review have earned the backing of the National Association of Pension Funds (NAPF), which claims they would benefit the lowest-paid.
The Labour's peer's recommendations – published in October – suggested taxpayer-funded pensions should be altered to career average mechanisms, which the NAPF believes is a fair compromise.
"Career average pensions are the most promising option for providing a sustainable, affordable and fairer public sector pensions system," said the group's chief executive Joanne Segars. "It will also protect lower-paid workers."
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She added that the reforms will put public sector employers and their staff on a "more equal footing" in terms of risk-sharing, the burden of which she claimed is largely shouldered by organisations and taxpayers under the current arrangements.
Ms Segars' comments came after the Telegraph reported prime minister David Cameron had insisted cuts to government-provided pensions were "non-negotiable" in a meeting with trade unionists at Downing Street.
Posted by Hayley Edwards
