• Posted 18th June 2015

NHS Pension Scheme 2015

NHS Pension Scheme is considered as the comprehensive public benefit service schemes within the UK. And, whenever you start working for NHS, you are automatically included in the NHS Pension Scheme. From 1 April 2015, a new NHS Pension scheme came into effect which covers both the transitioning and new NHS employees. The main features of this scheme:

• It is a Career Average Revalued Earnings (CARE). This defined benefit pension scheme provides benefits based on a proportion of pensionable earnings during your career.
• The amount of your pension earnings of each year is determined by accrual rate which is shown as the fraction of your pensionable pay. And, the accrual rate is 1/54th.
• As the pension benefits already built up in the 1995 and 2008 sections will be retained, you should retire from the NHS employment in order to access your 2015 benefits without any reduction. However, such benefits are not available until you hit your normal pension age for 2015 pension scheme.
• For claiming the benefits without reduction for early payment, the age is same as your State Pension Age.
• The revaluation is Consumer Price Index (CPI) inflation plus 1.5% per year.

Some current members are still allowed to remain in the 1995 and 2008 Sections until the retirement through the Scheme’s protection arrangements. They can move on to the new one at a date later than 1 April 2015 depending on the form of protection they have.

Full Protection

On 1 April 2012, if you were within 10 years of your NHS Pension Scheme Normal Pension Age, you will get full protection and are allowed to remain in the 1995 or 2008 Section until you retire.

Tapered Protection

On 1 April 2012, if you were more than 10 years but less than 13 years and 5 months from your Normal Pension Age, you are entitled to tapered protection And, you can move to the new 2015 scheme at a date later than 1 April 2015 but should move before 1 April 2022.

No Protection

On 1 April 2012, if you were more than 13 years and 5 months away from your Normal Pension Age, you will automatically move to the new 2015 Scheme and will get no protection.