Elswick Group Pension Scheme (PO-2938)

Subject

Mrs Turner complains that she was not paid the 50% widow’s pension she was entitled to and, further, that her widow’s pension was not increased by 3% each year in accordance with her entitlement. She says that arrears have built up which she is owed.

The Pensions Ombudsman’s determination and short reasons

Mrs Turner’s complaint cannot be upheld against L&G. However, Mrs Turner’s complaint can be upheld against PTL, but only to the extent that Mrs Turner has suffered distress and inconvenience as a consequence of PTL’s maladministration, because:

• there is no evidence to suggest that had PTL acted more expediently on discovery of Mrs Turner’s benefit entitlement in December 2012 they would have been able to secure Mrs Turner’s benefit entitlement in full from the assets of the Scheme;
• on the balance of probabilities it seems unlikely that had PTL acted more expediently on discovery of Mrs Turner’s benefit entitlement in December 2012 they would have been able to secure Mrs Turner’s benefit entitlement in full from the assets of the Scheme; and
• PTL have – in delaying the payment of Mrs Turner’s widow’s pension, in failing to recognise Mrs Turner’s entitlement to 3% yearly pension increases and providing Mrs Turner with gross rather than net figures in respect of the payment of her pension arrears – caused Mrs Turner to suffer distress and inconvenience.