Fight for a better TSB deal

The Hill Samuel Action Group will this week send out a circular to pensioners of the now defunct merchant bank, urging them to fight for an improved pensions deal out of the TSB pension scheme.

HSAG, organised by former director Billy James, hopes to rally support from some 600 current and deferred pensioners. As reported in last week's Independent on Sunday, HSAG wants to lobby MPs ahead of the passing of the Lloyds TSB Bill.

Mr James said the action was not confined to former Hill Samuel employees. "We want to broaden the group to include all members of the TSB scheme."

The TSB pension scheme is hugely overfunded, and has been on a contributions holiday for many years. It is believed the Hill Samuel element is overfunded to the tune of pounds 200m.

Any parliamentary activity comes as the debate over pensions has reached a critical stage. As well as Labour's commitment to reform the welfare state, where pension funding will be a key part of any proposals, the subject is also of intense interest in the wake of the Maxwell scandal and, more recently, the pounds 4bn pensions mis-selling affair.

HSAG is demanding two undertakings from Lloyds TSB: that "our right to the pension fund surplus must be guaranteed," and that "the surplus be available to improve the benefits of members and deferred members". It wants to see pensions for all members fully index-linked, while older pensioners on relatively low incomes should be granted a better deal.

The circular points to a fundamental inconsistency in TSB's approach to entitlements. John Elbourne, TSB's deputy chief executive, was granted a pounds 470,000 top-up to his pension fund. Hugh Freedberg, Hill Samuel's former chief executive, was given a pounds 650,000 pension payoff. Sir Nicholas Goodison, Lloyds TSB deputy chairman, has a special arrangement to provide a full pension, although he joined TSB only in 1988. Mr James said the one-off payments "seem to be on a random basis, and as such are unfair".

Lloyds TSB has told HSAG it is constrained from making any changes to the pension scheme for several reasons. Changes, it says, would require the approval of the trustees, while certain changes can only occur with the approval of the Inland Revenue.

The group has secured the backing of Sir Robert Clark, the last chairman of Hill Samuel before it was acquired by TSB in 1987. Mr James has also enlisted Lord Keith, who played a pivotal role in the bank's development.

Start your day with The Independent, sign up for daily news emails
PROMOTED VIDEO
ebooks
ebooksA year of political gossip, levity and intrigue from the sharpest pen in Westminster
News
i100
Life and Style
food + drinkClue: You'll either love them or you'll hate them
News
Howard Marks has been diagnosed with inoperable cancer, he has announced
people
News
newsIf you're India's Narendra Modi, it seems the answer is a pinstripe suit emblazoned with your own name
News
peopleWarning - contains a lot of swearing
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Ashdown Group: Client Services Manager - Relationship Management - London

£30000 - £32000 per annum + benefits : Ashdown Group: A highly successful, int...

Recruitment Genius: Credit Controller / Customer Service

£18000 - £20000 per annum: Recruitment Genius: This rapidly expanding business...

Guru Careers: In-House / Internal Recruiter

£25 - 28k + Bonus: Guru Careers: An In-house / Internal Recruiter is needed to...

Recruitment Genius: Tax Assistant

Negotiable: Recruitment Genius: A Tax Assistant is required to join a leading ...

Day In a Page

Syria crisis: Celebrities call on David Cameron to take more refugees as one young mother tells of torture by Assad regime

Celebrities call on David Cameron to take more Syrian refugees

One young mother tells of torture by Assad regime
The enemy within: People who hear voices in their heads are being encouraged to talk back – with promising results

The enemy within

People who hear voices in their heads are being encouraged to talk back
'In Auschwitz you got used to anything'

'In Auschwitz you got used to anything'

Survivors of the Nazi concentration camp remember its horror, 70 years on
Autumn/winter menswear 2015: The uniforms that make up modern life come to the fore

Autumn/winter menswear 2015

The uniforms that make up modern life come to the fore
'I'm gay, and plan to fight military homophobia'

'I'm gay, and plan to fight military homophobia'

Army general planning to come out
Iraq invasion 2003: The bloody warnings six wise men gave to Tony Blair as he prepared to launch poorly planned campaign

What the six wise men told Tony Blair

Months before the invasion of Iraq in 2003, experts sought to warn the PM about his plans. Here, four of them recall that day
25 years of The Independent on Sunday: The stories, the writers and the changes over the last quarter of a century

25 years of The Independent on Sunday

The stories, the writers and the changes over the last quarter of a century
Homeless Veterans appeal: 'Really caring is a dangerous emotion in this kind of work'

Homeless Veterans appeal

As head of The Soldiers' Charity, Martin Rutledge has to temper compassion with realism. He tells Chris Green how his Army career prepared him
Wu-Tang Clan and The Sexual Objects offer fans a chance to own the only copies of their latest albums

Smash hit go under the hammer

It's nice to pick up a new record once in a while, but the purchasers of two latest releases can go a step further - by buying the only copy
Geeks who rocked the world: Documentary looks back at origins of the computer-games industry

The geeks who rocked the world

A new documentary looks back at origins of the computer-games industry
Belle & Sebastian interview: Stuart Murdoch reveals how the band is taking a new direction

Belle & Sebastian is taking a new direction

Twenty years ago, Belle & Sebastian was a fey indie band from Glasgow. It still is – except today, as prime mover Stuart Murdoch admits, it has a global cult following, from Hollywood to South Korea
America: Land of the free, home of the political dynasty

America: Land of the free, home of the political dynasty

These days in the US things are pretty much stuck where they are, both in politics and society at large, says Rupert Cornwell
A graphic history of US civil rights – in comic book form

A graphic history of US civil rights – in comic book form

A veteran of the Fifties campaigns is inspiring a new generation of activists
Winston Churchill: the enigma of a British hero

Winston Churchill: the enigma of a British hero

A C Benson called him 'a horrid little fellow', George Orwell would have shot him, but what a giant he seems now, says DJ Taylor
Growing mussels: Precious freshwater shellfish are thriving in a unique green project

Growing mussels

Precious freshwater shellfish are thriving in a unique green project