Just to follow up from Stupendous Mans' post...
If the pension does get capped at RPI+0.5%, we are possibly more likely to get slightly better pay deals in the future than if there is no cap.
If there is no cap in place the company will fight tooth and nail to keep pay rises low, to reduce the pension contributions.
What people need to weigh up is whether or not an extra half a percent here and there as a non pensionable pay rise is worth the overall reduction in pension benefit when you retire...