Changes to the NHS Pension Scheme in 2015
As you may be aware, new pension arrangements are to be introduced into all public sector pension schemes including the NHS Scheme from 1 April 2015. The main features of the new NHS Scheme include:
• A Career Average Revalued Earnings (CARE) scheme, with benefits based on a proportion of pensionable earnings each year during your career
• A build up rate of 1/54th of each year’s pensionable earnings with no limit on the number of years that can be taken into account.. This is a higher build up rate than both the 1995 and 2008 sections of the NHS Scheme
• Revaluation of active members’ benefits in line with inflation, currently the Consumer Price Index (CPI), plus 1.5 percent per annum
• A normal pension age at which benefits can be claimed without reduction for early payment linked to the same age you are entitled to claim your State Pension.
A State Pension Age Calculator is available on the Gov.uk website.
• Pensions in payment to increase in line with inflation (currently CPI).
NHS Pension Schemes: An Overview.
2015 Scheme factsheet
Salary sacrifice factsheet
Early retirement reduction buy out (ERRBO) factsheet
Loss of Enhanced and Fixed Protection 2012 and 2014 because of the 2015 NHS Pension Scheme
A summary of the proposed final agreement on a scheme design from 2015 can be viewed at: https://www.gov.uk/government/publications/reforming-the-nhs-pension-scheme-for-england-and-wales-proposed-final-agreement
2015 NHS Pension Scheme calculator
The Gov.uk website has three calculators to help understand and estimate the benefits members may be entitled to through the 2015 Scheme changes. More information is available here. Links to the calculators can be found below:
Calculator for Agenda for Change staff
Calculator for medical and dental staff in the hospital and community health services
Calculator for salaried primary dental care staff