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Pension Contributions

Volume 455: debated on Thursday 25 January 2007

To ask the Secretary of State for Communities and Local Government what the employee contribution rate is to (a) the Local Government Pension Scheme and (b) the Firefighters' Pension Scheme; and if she will make a statement. (111511)

The current contribution rate for employees in the Local Government Pension Scheme is 6 per cent. of pensionable pay, with certain members retaining rights to contribute 5 per cent. Draft regulations issued on 22 December 2006 for consultation with scheme interests in England and Wales propose new arrangements, to take effect from 1 April 2008, which would mean members contributing 5.5 per cent. payable on the first £12,000 of pensionable pay and 7.5 per cent. payable on the excess. Final decisions on new contribution levels, linked to pay, will be taken once the responses to the consultation exercise have been considered.

Members of the Firefighters’ Pension Scheme 1992 pay a contribution of 11 per cent. of pensionable pay. This scheme has been closed. From 6 April 2006, firefighters joining the fire and rescue service are members of the New Firefighters' Pension Scheme 2006 and pay a contribution of 8.5 per cent. of pensionable pay.