Equal marriage isn't totally equal when it comes to pensions

A hang-over from civil partnerships keeps same-sex couples different in the eyes of the law.

Moneybox's Paul Lewis points out on Twitter an interesting quirk of the Marriage (Same-Sex Couples) Bill: when it comes to pensions, it's not entirely equal.

Paragraph 123 of the explanatory notes reads:

Paragraph 18 of Schedule 9 to the Equality Act 2010 provides that it is not discrimination because of sexual orientation to restrict access to a benefit, facility or service that would be available to a person who was married, to someone who is in a civil partnership in relation to rights accrued before 5 December 2005 (the date the Civil Partnership Act came into force). This means that an occupational pension scheme as a minimum only has to provide survivor benefits to civil partners on rights accrued since that date. Paragraph 15 removes the word married from sub-paragraph (1) and inserts a new sub-paragraph (1A) in paragraph 18 of Schedule 9 to the Equality Act 2010. This extends the exception so that it also applies to same sex couples in the same way as to civil partners.

That is: if you are married to someone of the same sex, your marriage is qualitatively different in at least one (potentially very important) way. Any pension benefits accrued before 5 December 2005 are allowed to continue to ignore same-sex marriages.

The reasoning behind the rule is obvious. When pension funds were estimating the costs of providing couples' benefits, a small but significant part of the estimation will have been based on the fact that any gay members of the pension plan would never be able to claim those benefits. When civil partnerships were introduced, it was decided it would be more trouble than it was worth to force those funds to treat civil partnerships as marriages; and now, since the Marriage (Same-Sex Couples) Bill is essentially just a provision for changing the name of civil partnerships, the same rule is being carried over.

It's important to note that the rules are just the minimum, so most pension funds will presumably do the right thing and cover married couples equally regardless of gender. And obviously eventually the difference will be moot. But the desire to take the easy way out may end up hurting a few couples just when they're at their most vulnerable. Hopefully an amendment will change this rule and restore equality to equal marriages.

Photograph: Getty Images

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

Photo: Getty
Show Hide image

The big problem for the NHS? Local government cuts

Even a U-Turn on planned cuts to the service itself will still leave the NHS under heavy pressure. 

38Degrees has uncovered a series of grisly plans for the NHS over the coming years. Among the highlights: severe cuts to frontline services at the Midland Metropolitan Hospital, including but limited to the closure of its Accident and Emergency department. Elsewhere, one of three hospitals in Leicester, Leicestershire and Rutland are to be shuttered, while there will be cuts to acute services in Suffolk and North East Essex.

These cuts come despite an additional £8bn annual cash injection into the NHS, characterised as the bare minimum needed by Simon Stevens, the head of NHS England.

The cuts are outlined in draft sustainability and transformation plans (STP) that will be approved in October before kicking off a period of wider consultation.

The problem for the NHS is twofold: although its funding remains ringfenced, healthcare inflation means that in reality, the health service requires above-inflation increases to stand still. But the second, bigger problem aren’t cuts to the NHS but to the rest of government spending, particularly local government cuts.

That has seen more pressure on hospital beds as outpatients who require further non-emergency care have nowhere to go, increasing lifestyle problems as cash-strapped councils either close or increase prices at subsidised local authority gyms, build on green space to make the best out of Britain’s booming property market, and cut other corners to manage the growing backlog of devolved cuts.

All of which means even a bigger supply of cash for the NHS than the £8bn promised at the last election – even the bonanza pledged by Vote Leave in the referendum, in fact – will still find itself disappearing down the cracks left by cuts elsewhere. 

Stephen Bush is special correspondent at the New Statesman. He usually writes about politics.