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Have you booked your place?
We have some news on in-house developments which will change processes for all so it is important that you attend one of the meetings. If you haven’t already done so, please book your place via our website.
The LGPS Scheme Advisory Board has advised Administering Authorities and their employers begin preparations for proposed changes in regulations effective from 1st April 2019 which will include employee contribution reductions and a package of benefit improvements.
Some of the proposed changes are as follows:
• Removal of Tier 3 Ill Health
• Enhanced Early Retirement factors for all members who are active on 1st April 2019 to be applied to all service.
• Removal and changes to contribution bands:
a) A new 2.75% band at pay of £0 to £12,850
b) An expansion in size but reduction in rate for current Band 2 (5.8%) – £12,501 to £22,500 and be at a rate of 4.4%
c) An expansion of the top of current 6.8% band from £45,200 to £53,500
Our recommendation, without pre-empting regulatory changes, would be to avoid changing bands on 1st April until further clarification has been provided.
A short consultation is due in February and is expected to only be open for 3 weeks and we will of course notify you of the decisions. More details on the proposed changes will be provided at the Employer Meetings at the end of January.
Please see the consultation on the proposed amendments to the Local Government Pension Scheme that are intended to implement the New Fair Deal Policy protecting the pensions position of local government workers who are compulsorily transferred as part of an outsourcing arrangement.
In addition the Local Government Association (LGA) are proposing mechanisms regarding the transfer of assets and liabilities when LGPS employers merge.
The Consultation can be found here and comments on the proposals are sought by the 4 April to Lgpensions@communities.gov.uk
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