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NHS Pension Scheme

Volume 454: debated on Wednesday 13 December 2006

To ask the Secretary of State for Health what the cost of employer contributions to the NHS pension scheme was in each year between 1990-91 and 2005-06; and if she will make a statement. (101287)

Information from 1990-91 to 2004-05, the latest year that pension scheme accounts are available, is show in the following table. Increases in contributions in 2000-01 and 2001-02 reflect the phased increase in employers contributions following the 1994 valuation of the scheme, which was published in October 1998. The figures from 2003-04 include changes in relation to the Retail Price Indexation for existing pensioners for which funding was devolved from Her Majesty's Treasury to the Department of Health in 2003-04, and which was fully devolved to scheme employers from 2004-05. It is proposed as part of the review of the national health service (NHS) pension scheme that there will be a cap on employers' contributions of 14.2 per cent., from 2012, when the 2008 valuation is expected to be implemented, and of 14 per cent. from 2016.

Employer contributions

£000

1990-91

394,055

1991-92

458,077

1992-93

506,644

1993-94

488,072

1994-95

497,957

1995-96

525,623

1996-97

554,201

1997-98

605,052

1998-99

663,982

1999-2000

723,950

2000-01

925,169

2001-02

1,504,273

2002-03

1,632,536

2003-04

3,588,337

2004-05

3,890,167

Source:

Government Actuary's Department, appropriation accounts and NHS pension scheme resource accounts