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Charity Commission: Pensions

Volume 474: debated on Thursday 24 April 2008

To ask the Chancellor of the Duchy of Lancaster what the cash equivalent transfer value is of the public sector pension of the Chief Executive of the Charity Commission. (198608)

It is not appropriate to disclose values for staff, other than those whose details are reported in Remuneration Reports in the Department's Resource Accounts. A copy of the Charity Commission's Resource Accounts for the year ending 31 March 2007 is available in the Library of the House.

To ask the Chancellor of the Duchy of Lancaster what pension scheme is offered to staff joining the Charity Commission; and if he will place in the Library details of the terms and benefits of the scheme. (198609)

New entrants to the civil service are covered by the civil service pension arrangements. Staff can choose between ‘nuvos’, a defined benefit pension scheme and ‘partnership’, a stakeholder pension. If a person is being re-employed, and was previously a member of a civil service pension scheme, they may be able to rejoin their previous scheme, but this will depend on the length of time since they were last employed.

In respect of members of the defined benefit schemes, employer contribution rates are assessed for each of four ranges of pay levels. The rates for 2008-09 are:

Band

Full-time annual salary

Rate from 1 April 2008

Band 1

£19,500 and under

17.1

Band 2

£19,501 to £40,500

19.5

Band 3

£40,501 to £69,000

23.2

Band 4

£69,001 and above

25.5

The scheme rules are laid before Parliament and copies are in the House Library.

For members of ‘partnership’, the employer pays a basic contribution of between 3 per cent. and 12.5 per cent. (depending on the age of the member) into a stakeholder pension product and will match the member’s contribution up to a limit of 3 per cent. Employers also contribute a further 0.8 per cent. of pensionable salary to cover the cost of risk benefit cover (death in service and ill health retirement).

Details of the civil service pension arrangements can be found on the Civil Service Pensions website:

http://www.civilservice-pensions.gov.uk.