Wedgwood Museum

Baroness Jones of Whitchurch Excerpts

Tuesday 14th February 2012 Lords Chamber

[Lord Cormack]

My Lords—

[Baroness Jones of Whitchurch]

My Lords, may I pursue the whole issue of the “last man standing” legislation with the noble Baroness? I understand that, following the DWP’s review of this policy, it was agreed that there would be a further review. However, I gathered from what the noble Baroness was saying just now that this is not the case. Will she confirm whether this matter is under review, because it seems to noble Lords around the House that it is being used and implemented in a way that was never foreseen, is causing charities—not just the Wedgwood Museum but other charities—considerable concern and disquiet, and has consequences for unemployment in the area as well? Therefore, will the noble Baroness clarify the status of the “last man standing” legislation?

[Baroness Rawlings]

With pleasure, my Lords. We understand that the Wedgwood pension scheme operated on the basis that if any participating employers became insolvent or otherwise stopped sponsoring the scheme, responsibility for the pension scheme fell to the remaining employers. This is what is meant by the “last man standing” rule. As a result, the company of the Wedgwood pension scheme—the museum—became liable for its pensions shortfall. We are awaiting the judgment from the Attorney-General. Then it will be decided where we go to from there.