How does everyone feel about a 3 year deal of August RPI +0.5%, underpinned at 0.5%, just in case RPI is negative anytime in the next 3 years. Starting with August 2008 RPI, so that's 5.3% in Jan 2009. I think that would be a reasonable deal that the union could honestly recommend was the best that they could achieve in these current times. I think the union have a duty and opportunity to make up some of the face that they have lost over the pension shafting, however I don't think they will ever fully recover from it.
It also gives NATS some certainty about costs going into CP3. This will enable them to negotiate with the regulator and hopefully get it right this time after the shambles of omitting full cost-pass through for our pension.
If the union manage this it's a
from me.