Public Service Pension scheme consultation - what might it mean for me?


When the 2015 pension schemes were introduced, some pension members had full or transitional protection from moving into the 2015 scheme. This has been ruled as being discriminatory to members who were automatically moved into the 2015 pension scheme.


The Government has published a consultation document regarding changes to the transitional arrangements to the 2015 scheme.


Members who are affected will be those who were in service on or before 31 March 2012 and on or after 1 April 2015. The period from 1 April 2015 to 31 March 2022 is described as the remedy period, the legacy scheme is the 1995/2008 scheme and the reformed scheme is the 2015 scheme. 


Members will have a choice to receive retirement benefits under the legacy or reformed scheme for the period from 1 April 2015 and 31 March 2022. The consultation proposes two options for when this decision is made:-


  1. The immediate choice – the individual decides in the year or two after implementation in 2022 what scheme to be in at retirement.
  2. Deferred choice underpin (DCU). The decision is deferred until a member retires or when they take their pension benefits. Until then, members would be deemed to have been in the legacy scheme for the remedy period.


Members who retired or will retire before 1 April 2022 will be given a choice between the legacy scheme and the reformed scheme.


From 1 April 2022 all pension scheme members will be in the reformed scheme. If anybody joined the NHS pension scheme on or after 1 April 2015 then these choices do not apply to them.


The consultation closes on Sunday 11 October 2020.


What is very clear is that a number of individuals will need to take advice regarding their options and, in some cases, understanding the impact their pension choice may make on their annual allowance position. We are not authorised to provide investment advice and any queries in this regard should be directed to an Independent Financial Advisor who understands public service pension schemes.