'We've lost trust': Unite rejects local authority pension deal

Trades union Unite has rejected the government’s latest offer for reform of local government pensions.

In December, the negotiators for various unions including Unite signed a "heads of agreement" document outlining the basics of a deal for Unite to take back to its committees for approval.

Today Unite announced its local authority national industrial sector committee has rejected the government's proposal to move the local government scheme from a final salary to a career average basis, link the retirement age to the state pension age after 2015, and impose an employer cost cap.

The announcement comes after Unite's health sector committee turned down the government's offer for reform of the NHS Pension Scheme (NHSPS).

Unite's general secretary Len McCluskey said the committee rejected the proposals because of a fear the government will attempt to force other, harsher reforms into the agreement.

"Unite's local authority representatives have lost trust after Eric Pickles let the government's real agenda out of the bag," McCluskey said.

He was referring to an incident in December when, just hours after the head of agreement document was signed, local government secretary Pickles, pictured, announced the unions had agreed to a reform which they had not.