I am responding to your correspondence of March 9 and 12, 2013, concerning the United Kingdom’s (UK) policy of non-indexation for its pensions, particularly with regards to the major review of the British pension system and the recent signing of the Charter of the Commonwealth. I apologize for this delayed reply.
As you are aware, Canada has been a stalwart supporter of the efforts of British pensioners in Canada to secure indexation for their British pensions paid into Canada. A wide array of Canadian government officials, including Prime Ministers, Ministers, High Commissioners and Deputy Ministers, have raised the issue with their counterparts in the UK Government to no avail. However, Canada remains engaged and willing to press its position for indexation at every appropriate opportunity.
To that end, I recently wrote a letter to the UK Minister for Works and Pensions to once again propose that, in light of the generational review of the British pension system, our respective officials meet to negotiate a mutually beneficial agreement that would provide for the indexation of UK benefits. It is our Government’s position that UK’s review of its pension system is an ideal occasion to resolve this longstanding concern.
I would like to thank you and your organization for the vigilance you maintain in identifying appropriate opportunities to engage the UK.
The Hon. Diane Finley, P.C., M.P.
Minister of Human Resources and Skills Development