A report in relation to the LGPS Reform Proposals Update was received.

The outcome of negotiations with the Local Government Association (LGA) and trade unions had been announced on the new LGPS proposals for England and Wales, to take effect from 1 April 2014.

All pensions in payment or those built up before April 2014 would be protected.  For contributing Scheme Members the pre April 2014 pension would still be based on final salary at retirement, and the current normal pension age.  There would be no change to the death in service lump sum or death in service survivor benefits.  There would be an accrual rate of 1/49^th compared to 1/60^th for LGPS 2008. 

Under the new Scheme provision had been made for people who might have wanted to opt out of the Scheme to instead pay half of the contributions and accrue half of the benefit for a period of up to 3 years.  Normal pension age would be align to the individual member’s State Pension Age.  Members would still be able to retire before their normal pension age but would have their benefits reduced.  Protected early retirement dates from the 2008 scheme would remain however.  The qualification for benefits period would change from 3 months to 2 years.  LGPS Members who’s jobs were compulsorily transferred to the private sector would be able to retain membership of the Scheme.

The proposals have been publicised on the website and employers system as well as our social networking sites.  A special edition active newsletter will be issued before the end of the month.

Councillor Wraith suggested a presentation on the scheme to be given to each of the local authorities, and for Members to be invited.  G Chapman commented that the more the Authority could do to get the message across to Members and employers the better.

RESOLVED – That Members noted the report, and awaited the finer detail of the LGPS reform proposals.