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Changes to the Police Pension Scheme from April 2015

As you may be aware, new pension arrangements are to be introduced for public sector pension schemes from April 2015.

The main features of the new Police Pension Scheme design in Scotland from 2015 have been set out within a Framework Document.

A number of frequently asked questions (FAQs) have also been produced to aid understanding of these changes and are available below.

In March 2011, Lord Hutton published his final conclusions on public service pensions reform. The framework outlined in Lord Hutton's report was ultimately outlined in the UK Government's Public Service Pensions Act 2013 which requires that new reformed public sector schemes (which include police pensions) must be introduced from 1st April 2015.  Occupational pensions policy is a matter reserved to the UK Government so the requirements of that Act must be applied to the schemes in Scotland.

In March 2012 Kenny MacAskill, the Cabinet Secretary for Justice, commenced negotiations with police pension stakeholders to deliver a new Scottish police pension scheme from 1st April 2015.  Those negotiations were required to deliver a new scheme that remained within the set financial cost limits and was a Career Average Revalued Earnings Scheme (CARE). Additionally during those negotiations the UK Government's Public Service Pensions Act also required the scheme to have a normal pension age of 60.

Within the constraints that have had to be applied Scottish Ministers have done everything possible to explore options for reform which would help mitigate the impact of changes, particularly increased Normal Pension Age, on Scottish police officers. However negotiations have now concluded and the constraints that have unavoidably been applied have meant that the scheme design that will be applied in Scotland will mirror that being introduced for police officers in England and Wales.

Full details of the design were announced by Mr MacAskill on 6th September and this can be viewed through the following link.

Members may wish to be aware of Police Circular 1/2015 which provides further information on the 2015 scheme.

Latest Position on 2015 Communications

Communications products being developed between now and December. Consultation and agreement on all products with tri-partite groups will take place in January 2015 and thereafter will begin distributing these to members / employers from February 2015 onwards.

More information will be added to these pages in due course.

Please do not attempt to contact SPPA currently as we are unable to provide any further clarification at this time to what has already been published above.

 

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