The Family Solution

Following the 31 December 2016 statutory triennial valuation of the BPS, a new “Family Solution” was agreed to substantially reduce the deficit in the Baptist Pension Scheme (the Scheme). This Family Solution was implemented with effect from 1st January 2019, with the Baptist Union having made an additional cash injection in December 2018 and adjustments to the scheme benefits also being implemented. 

Family Solution Update for Employers (January 2019)

The Family Solution was the outcome of lengthy and detailed negotiations between the Pension Trustee and the BPS Employers Group (acting on behalf of the Baptist Union of Great Britain (BUGB) and the other scheme employers).

The key outcomes from the Family Solution include:

  • A contribution of £33m from the Baptist Union to the Baptist Pension Scheme, (paid in December 2018) with a commitment to pay a further £0.5m by the end of 2023
  • A change from RPI to CPI for the inflation index used to calculate increases to pensions in payment, with provisions in place to help cushion the effect of this change for current pensioners
  • An increase in the manse allowance in line with CPI inflation. For 2019 the allowance is £6,144 (an increase from £6,000)
  • No change to the monthly deficit contributions for employers, other than to reflect any annual changes in the Minimum Pensionable Income.    
  • Deficit contributions are planned to finish in 2028, years earlier than the previous plan

We believe that the Family Solution improves the overall security of member benefits, while also reducing the long-term burden on the Scheme churches and other employers. Although the financial environment remains volatile and there may yet be further challenges ahead, the Family Solution gives the Baptist family a genuine opportunity to eradicate the pension deficit within the foreseeable future, which will help ensure that we honour the pension promises made to past and current ministers and their dependants.

Historical Family Solution communications are shown below. 

 Letter sent to members churches and tenants outlining the Family Solution

FAQs for churches and other employers 


FAQs for Scheme members


 Summary of the Scheme funding position


RBMHS involvement in the Baptist Pension Scheme Family Solution







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