Pensions - Articles - Further increase in ministerial pension contributions


 Ministers and Whips will be paying up to 16% in contributions from today, while cabinet ministers could be paying nearly 18%, Minister Francis Maude announced today, making their contributions one of the highest in the public sector.

 By 2014 to 2015, ministers’ pension contributions will have increased by up to 6 percentage points since 2011 to 2012.

 From 1 April 2014:

 - Secretaries of State, the Leader of the Opposition in the Commons and the Speaker in the House of Lords will pay an additional 1.2 percentage points of pay, a total of 6 percentage points higher than 2011 to 2012
 - Ministers of State, the Government Chief Whip, the Leader of the Opposition in the Lords, the Chairman of Committees of the House of Lords and the Deputy Chairman of Committees of the House of Lords will pay an additional 0.8 percentage points of pay, a total of 4 percentage points higher than 2011 to 2012
 - Parliamentary Under Secretaries, the Government Whips and Opposition Whips will pay an additional 0.5 percentage points of pay, a total of 2.5 percentage points higher than 2011 to 2012
 - The changes mean an average contribution increase of 4.2 percentage points since 2012, which is higher than the average 3.2 percentage points increase in other public service schemes.

 Francis Maude said:

 "As part of our long term economic plan this government has reformed public service pensions so they are fair to both public sector workers, and hardworking taxpayers.

 Ministers are not exempt. All ministers took a 5% pay cut at the start of this government, and a 5-year pay freeze. Under these changes we are asking them to pay more into their pensions."

Back to Index


Similar News to this Story

Wish list for the occupational pensions industry in 2025
As one year closes and another begins, it's an opportune moment to set our sights on the future. The UK occupational pensions industry faces nume
PSIG announces outcome of Consultation
The Pensions Scams Industry Group (PSIG), which was established in 2014 to help protect pension scheme members from scams, today announced the feedbac
Transfer values fell to a 12 month low during November
XPS Group’s Transfer Value Index reached a 12-month low, dropping to £151,000 during November 2024 before then recovering to its previous month-end po

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.