Skip to main content

Departments: Pensions

Volume 462: debated on Monday 25 June 2007

To ask the Secretary of State for Defence what the current rate of employer contribution is to each public sector pension scheme for which his Department has responsibility; what the revenue impact would be of capping the employer contribution to each such scheme at 14 per cent.; and if he will make a statement. (144299)

The employer contribution rate for the main armed forces pension schemes is currently 24.8 per cent. of the total pay-bill or 25.6 per cent. of pensionable pay.

The armed forces pension schemes are non contributory for employees and there is no employers cap on the scheme therefore the issue of a revenue impact resulting from a 14 per cent. cap is theoretical and would incur disproportionate costs to calculate.