Civil servants get new pension scheme

An improved pension scheme became available to civil servants at the beginning of this month.

Alan Maloney, pensions officer with the main civil service union, the PCS, said the new scheme "provides civil servants with greatly enhanced pensions choice and protection." He added that: "PCS is particularly proud that our members in the civil service will be part of the first pension scheme in the public sector that provides survivor benefits for unmarried partners, irrespective of gender"

Civil servants now have a choice of staying in the existing scheme (renamed the Classic scheme - with a pension based on an accrual rate of 1/80th plus a

3/80ths lump sum), moving to a stakeholder scheme or paying an extra 3.5% of earnings in contributions to join the new scheme - known as the Premier scheme. This has a 1/60th accrual rate, partner benefits, higher death benefits, improved ill-health benefits for the seriously ill and better childrens benefits.

Members of the Classic scheme had the option to convert all their service to the new scheme or only join it for future service.

Details of the schemes are at: www.civilservice-pensions.gov.uk .