gototopgototop

Latest News

NHS Scotland Event 2017

Friday, 05 May 2017 11:13

The Scottish Public Pensions Agency will be attending the NHS Scotland Event, held at the Scottish Event Campus, Glasgow, 20 – 21 June 2017. If you have any questions, or would like to know more about the services we offer, please come along for a chat with our friendly staff. You can find the SPPA at stand 48.

 

Changes to nominated partner benefits

Thursday, 20 April 2017 13:38

Nominated partner benefits (also known as adult partner benefits in the police schemes) were introduced to public service schemes between 2006 and 2009. As part of entitlement to those benefits it was a mandatory requirement that a nomination form had to be completed (this requirement was removed from the Local Government Pensions Scheme with effect from 1 April 2015). This requirement was in addition to meeting the underlying conditions which must be satisfied for a continuous period of at least 2 years for a nominated partner pension to be paid.

Broadly these are:

· The scheme member is able to marry, or form a civil partnership with their partner;

· The scheme member and partner are living with each other as if they were a married couple or civil partners;

· Neither the scheme member nor the partner is living with a third person as if they were a married couple or civil partners; and

· The member and partner are financially interdependent or the partner is financially dependent on the member.

Nominated partner benefits were not introduced to the Police 1987 or the Firefighters 1992 schemes but members were given the opportunity to transfer to the 2006 schemes on preferential terms which do provide these benefits.

 

What’s changed?

On 8 February 2017, the Supreme Court decided that refusing a claim on the grounds that a nomination form had not been completed despite the underlying conditions being met is incompatible with Article 14 of the European Convention on Human Rights and was therefore unlawful

The Supreme Court's decision also applies to other public service schemes, and since February SPPA has removed the mandatory requirement to complete a nomination form, although a form can still be completed on a voluntary basis. However the underlying conditions mentioned above have not changed and must still be met for a claim to succeed.

Scottish Ministers have decided that this change should be applied to any case that has previously met the underlying conditions but which would not have gained entitlement due to the lack of a nomination form. In those cases the member concerned should contact SPPA for guidance. It is important to note that to enable a nominated partner pension to be paid the underlying conditions must be met.

SPPA has applied this change for claims received from 8 February 2017 but this change will also apply to any claim disallowed where a nomination form was not held but the underlying conditions were met.
 

My claim was refused because my partner had not completed a nomination form- what do I need to do?

If you made a claim for a nominated partner benefit before 8 February 2017 and were refused on the grounds that a nomination form had not been completed then you should contact the SPPA as soon as possible for further advice.

Although the mandatory requirement for a completed nomination form has been withdrawn a form will still be available for anyone who would like to inform SPPA of their partnership details. This will only be used for administrative purposes but may provide useful additional information in the event of a claim being made. As mentioned above any entitlement to a nominated partner benefit will be based on the underlying conditions being met.

 

Teachers Schemes only

Nominated partner benefits are based on a member's service from 1 April 2007. There is an opportunity for existing scheme members to increase the amount of nominated partner benefits by buying pre 1 April 2007 service. This was previously offered on receipt of a nomination form but as completion of these forms will no longer be mandatory anyone interested in purchasing additional service for nominated partner benefits should contact SPPA. To  elect to buy pre 2007 service  an application must be made within 6 months of the partnership meeting the underlying conditions, as shown above, and which must be satisfied for a continuous period of at least 2 years.

 

Tax Changes for 2017/18 Update

Last Updated on Wednesday, 12 April 2017 12:14 Friday, 07 April 2017 09:53

Further to our previous notification of  tax bandwidths for 2017/18 and also changes to the Scottish Rate bandwidths.
The tables below provides examples of what it means for you.
UK Income Tax rates (if your main residence is out with Scotland). Example based on having a standard Personal Allowance of £11,500.

UK Income Tax rates

Band

Taxable income

Tax rate

Personal Allowance

Up to £11,500

0%

Basic rate

£11,501 to £45,000

20%

Higher rate

£45,001 to £150,000

40%

Additional rate

over £150,000

45%

Scottish Income Tax rates (if your main residence is in Scotland). Example based on having a Personal Allowance of £11,500. (You don’t get a Personal Allowance if you pay additional rate tax).

Band

Taxable income

Tax rate

Personal Allowance

Up to £11,500

0%

Basic rate

£11,501 to £43,000

20%

Higher rate

£43,001 to £150,000

40%

Additional rate

over £150,000

45%

Further information on income Tax rates and Personal Allowances can be found on the Gov.uk website: Income Tax rates and Personal Allowances - GOV.UK
If you have an enquiry regarding your personal tax please contact HMRC on 0300 200 3300

For 2017 to 2018 the basic Personal Allowance will be £11,500 and the basic rate limit will be £33,500. However, for Scottish tax-payers the basic rate limit will be £31,930.
The new threshold (starting point) for PAYE is £221 per week (£958 per month).
The new emergency tax code is 1150L for all employees.
Income Tax rates and bandwidths are:

   UK Rate %              Bandwith Scottish Rate            %             Bandwith
   Basic Rate 20% £1 to £33,500             Basic Rate 20% £1 to £31,930
   Higher Rate 40% £33,501 to £150,000                            Higher Rate 40% £31,931 to £150,000
   Additional Rate           45% £150,001 and above               Additional Rate 45% £150,001 and above

If you have an enquiry regarding personal tax please contact HMRC on 0300 200 3300 or visit:
www.gov.uk/income-tax

 

 

Pensions Increase 2017/18

Monday, 13 March 2017 10:18

Public service pensions in payment, together with those that are deferred for payment at a future date, are indexed annually based on the annual change in the Consumer Price Index (CPI) measured as at the previous September. In the 12 months to September 2016, CPI was 1%. As a result, an increase of 1% is to be applied from 10 April 2017 for pensions in payment and deferred pensions. The UK Government expects to lay the Pensions Increase (Review) Order 2017 later this month.
 

Overseas Transfer Charge

Thursday, 09 March 2017 09:20

At Spring Budget 2017 the government announced that from 9 March 2017 a new 25% overseas transfer charge applies to some overseas pension transfers that were previously tax free.

From 9 March 2017 the overseas transfer charge will affect:

•  members of pension schemes requesting an overseas transfer
•  UK pension scheme administrators making overseas transfers
•  overseas scheme managers making and receiving transfers

HMRC will deem existing QROPS to continue to meet the ‘qualifying’ requirement to be a QROPS until 13 April 2017. If, by the 13 April 2017, HMRC has not received the new undertaking the overseas scheme will automatically cease to be a QROPS.

From 14 April 2017 HMRC will suspend the ROPS notifications list and publish an updated list on 18 April 2017.

Further information is available here:
 
https://www.gov.uk/government/publications/qualifying-recognised-overseas-pension-schemes-charge-on-transfers

At Spring Budget 2017 the government announced that from 9 March 2017 a new 25% overseas transfer charge applies to some overseas pension transfers that were previously tax free.

 

From 9 March 2017 the overseas transfer charge will affect:

 

  • members of pension schemes requesting an overseas transfer

  • UK pension scheme administrators making overseas transfers

  • overseas scheme managers making and receiving transfers

     

    HMRC will deem existing QROPS to continue to meet the ‘qualifying’ requirement to be a QROPS until 13 April 2017. If, by the 13 April 2017, HMRC has not received the new undertaking the overseas scheme will automatically cease to be a QROPS.

     

    From 14 April 2017 HMRC will suspend the ROPS notifications list and publish an updated list on 18 April 2017.

     

Further information is available here:

 

https://www.gov.uk/government/publications/qualifying-recognised-overseas-pension-schemes-charge-on-transfers

At Spring Budget 2017 the government announced that from 9 March 2017 a new 25% overseas transfer charge applies to some overseas pension transfers that were previously tax free.

 

From 9 March 2017 the overseas transfer charge will affect:

 

  • members of pension schemes requesting an overseas transfer

  • UK pension scheme administrators making overseas transfers

  • overseas scheme managers making and receiving transfers

     

    HMRC will deem existing QROPS to continue to meet the ‘qualifying’ requirement to be a QROPS until 13 April 2017. If, by the 13 April 2017, HMRC has not received the new undertaking the overseas scheme will automatically cease to be a QROPS.

     

    From 14 April 2017 HMRC will suspend the ROPS notifications list and publish an updated list on 18 April 2017.

     

Further information is available here:

 

https://www.gov.uk/government/publications/qualifying-recognised-overseas-pension-schemes-charge-on-transfers

 

GMP Consultation

Tuesday, 07 March 2017 11:44

The HM Treasury consultation regarding GMP indexation and equalisation as set out below has now closed. For information a copy of the response made by SPPA is attached.

SPPA GMP Consultation reply

 

Page 1 of 9

«StartPrev123456789NextEnd»

Link to Scottish Government Website