The changes mean members with benefits in the 1995 Section, 2008 Section and the 2015 Scheme will be able to take from 20% up to 100% of their pension benefits, carry on working, and continue to build up their NHS pension in the 2015 Scheme.
Information for members thinking of submitting a partial retirement application.
We’ve updated our webpage on partial retirement with the latest information on how members will be able to apply for partial retirement.
It explains that members don’t need to rush to submit their application for partial retirement – they should take some time to find the right work and pension balance for them. It also explains that the first thing they need to discuss with their employer what new working arrangements will work for both them and their employer, to enable them to reduce their pensionable pay by at least 10%, for the first 12 months after taking partial retirement.
You’ll find useful information on the NHS Employer’s website, including different ways members may be able to reduce their pensionable pay. For example, they could change some of their responsibilities, work fewer contracted hours, or move to a role that requires less from them. There are also some types of working patterns they could do from time to time, that are not pensionable, such as overtime above full-time hours.
The application process is like applying for retirement.
The process for Partial Retirement is almost the same as the application to retire.
An AW8 will need to be completed. The difference is a short additional form specific to applications for partial retirement. This will be published in July 2023. It includes a section for you to confirm the members new working arrangements as the employer and a section for members to say what percentage of their pension they’d like to take.
Although the additional form can’t be completed and submitted until sometime in July members can still apply to take partial retirement from October, should they want to. Due to the changes, we’ll aim to process these applications more quickly than the usual 3 months required, and we’ll make it possible for applications that need it, to be backdated to 1 October.
We’ll tell you more soon on the steps to take and where to find the latest support in our next update in July 2023. This will include factsheets, a “How to” guide for employers, explanation of the forms and how to complete them. We’ll also include more detail on how member decisions around partial retirement could be different if they are affected by the McCloud ruling.
You can find the latest information by checking the partial retirement page in the member hub.