News 

This section provides specific news for Active Members of the scheme, from our upcoming events, to the latest contribution bands. 

 

Pension case verdict in the news!

Denise Brewster, who was refused payments from her former partner's pension, has won her battle to extend benefits automatically to those who are unmarried, in a case which could benefit large numbers of public sector workers. Her victory at the Supreme Court marks a significant extension of the rights of unmarried cohabitees after five justices ruled the refusal to pay her the pension was unlawful. Her partner had worked for 15 years at Translink, which runs Northern Ireland's public transport services, and had paid into Northern Ireland's local government pension scheme. Shlomit Glaser, a solicitor specialising in family law at the London firm Glaser Jones said: It has wide implications for public sector schemes. The Supreme Court emphasised that no convincing economic or social reasons had been put forward for the policy of excluding a cohabitee, solely because a form had not been filled in.

This case highlights the importance of having an up-to-date nomination form. You can find these forms here: Expression of Wish



Working Past Age 65

Working Past Age 65

As you may already be aware by working past age 65 your pension benefits receive an actuarial increase applied to the pension benefits you have built up when you belatedly take your benefits to recompense you for the pension being paid for a shorter period. The Government Actuary Department have now issued revised factors for those who delay their retirement beyond age. These changes come into effect from 4th  January 2017 and are significantly reduced from those in place previously.

The factor for actuarial increase has been reduced from 0.014% to 0.01% for annual pension (for each day worked past SPA) and from 0.007% to 0.001% in respect of lump sums. Actuarial increases for late retirement are calculated based on the factors in force at the ultimate date of retirement, therefore after 4thJanuary this change will apply to all days worked past age 65. This will result in a reduction in the additional pension earned prior to 4th January if a member retires after this date.

Below is an example comparison of the actuarial increases earned by a member whose pension was due into payment on 31/12/2015 but who had delayed their retirement by 1 year, and by 1 year and 1 month in example B (notional values used for example). This illustrates the overall reduction in actuarial increases as a result of the new factors being used in the calculation for a member retiring after 4th January 2017.

 

Example A

 

Basic Value

Calculation under existing Factors

Increase for Late Retirement

Annual Pension

£11,000

365 days x 0.014% x £11,000

£562.10

Lump Sum

£25,000

365 days x 0.007% x £25,000

£638.75

 

Example B

 

Basic Value

Calculation under post 4thJanuary 2017 Factors

Increase for Late Retirement

Annual Pension

£11,000

395 days x 0.01% x £11,000

£434.50

Lump Sum

£25,000

395 days x 0.001% x £25,000

£98.75


Please note that these new factors will come into effect from 4th January and will apply to all the benefits that have been delayed beyond age 65, for some members this could be a significant reduction.

If you wish to discuss the impact this will have on our own pension benefits please contact the Havering Pensions Team on 01708 433333 or email Pensions@havering.gov.uk



Salary Bandings for 2015

If you are a member of the Local Government Pension Scheme, you will be aware that with the introduction of the New Look Pension scheme last April, the contribution that you pay will depend on the pay band you fall into.

These pay bands will be reviewed and the band you fall in to will be reviewed each April.
 
Salary bands to apply from 1 April 2015
 

 



Salary Bandings for 2014

As a member of the Local Government Pension Scheme, you will be aware that with the introduction of the New Look Pension scheme this April, the contribution that you pay will depend on the pay band you fall into.

This band will be reviewed each April for both authorities and also if there is a contractual change for Redbridge members ONLY.

Please note that you will now pay contributions on all pay received such as non contractual overtime or additional hours. Reductions in pay due to sickness, child related leave etc. are ignored. The salary used to determine your band has been assessed in accordance with each Authorities policy on this matter.
 
Salary bands to apply from 1 April 2014