Following the latest scheme valuation, the employer contribution rate for the Scottish Teachers' pension scheme was set to increase from the current rate of 17.2% to 22.4% from 1 April 2019.  The revised rate of 22.4% was scheduled to cover the period 1 April 2019 to 31 March 2023.

A key reason for the increase was the UK Government's decision to reduce the discount rate used in the valuation of unfunded public service pension schemes. In making that change, the UK Government agreed to provide funding to help schemes meet these additional costs although the amount of that funding has still to be confirmed.

The change in implementation date to 1 September 2019 is because of the way the additional HM Treasury funding for 2019-20, once confirmed, will be provided.  This mirrors the corresponding changes in England and Wales.  An SPPA circular has been issued to employers confirming the new position.

This change applies only to the Scottish Teachers' pension scheme. Increases due to employer contributions for the NHS, Police and Firefighter schemes will still be implemented as planned from 1 April 2019

Link to Scottish Government Website