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Pensions

Volume 981: debated on Tuesday 18 March 1980

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asked the Minister for the Civil Service, further to his reply dated 21 February concerning Civil Service pensions, what is the notional contribution by the Government as employer to Civil Service pensions as a percentage of salary; how this compares with the employee's contribution; and whether he is now in a position to give the information concerning the Government contribution.

In his report on the adjustment for differences in superannuation benefits in the 1979 pay research exercise, the Government Actuary estimated that Civil Service pension benefits were equivalent to 17·3 per cent. of salary, excluding the effect of the State pension scheme. The amount paid by the civil servant varies from grade to grade, but in 1979–80 amounted on average to about 7 per cent. of salary. The difference represents a notional employer contribution.