New Pensioner

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Pension Increase

Every April, your pension is increased in line with the Consumer Price Index (CPI) announced in the previous September. As your Occupational Pension was earned through employment in the public services, your pension is increased in exactly the same way as a Civil Service Pensioner and Retired Teacher or N.H.S employee.

Increases Prior to your State Pension Age (SPA)

Up to your SPA all of your pension increase will be paid by the Cheshire Pension Fund.

Increases after your State Pension Age (SPA)

When you attain your SPA, all of your pension will increase each April, however, part of the increase will be paid by the Cheshire Pension Fund and the remainder by the State.  This is in respect of the Guaranteed Minimum Pension (GMP) earned prior to 1988 whilst you were a member of Cheshire Pension Fund.

What is a Guaranteed Minimum Pension (GMP)?

In 1978 the Government introduced the State Earnings Related Pension Scheme (SERPS).  Since 1978 members of the Cheshire Pension Fund have been ‘contracted out’ of SERPS.  This means… Continue reading—–>

How will I know the amount of GMP?

The GMP is calculated by the Department for Work and Pensions (DWP) and will be notified to you with your State Pension entitlement.  The DWP will provide an annual update and inform Cheshire Pension Fund of the amount. Continue reading—–>

What happens to your pension if you start working again?

From 1st April 2006 the Cheshire Pension Fund agreed to remove its abatement policy from the Scheme (except for ill health retirees).

This change brought the Scheme in line with the Government’s Policy, which encourages employees to receive their pension and remain in employment (subject to their employers consent). In addition the policy will support Scheme Employers as a way of assisting flexible retirement and helping them retain older workers.

Retirements – Post 1 April 2007

The pension in payment is unreduced so no action is required from members.

Retirements – Pre April 2007

If a member’s pension is subject to abatement the pension should be increased to the full unabated amount with effect from 1st April 2006.

NB The removal of abatement does not apply to those pensioners who have previously received compensatory added years and who are subsequently re-employed. (The regulations require the abatement to continue)

Ill – Health Retirements

Pension abatement will continue to apply to pensioners in receipt of an LGPS ill-health retirement pension and who were subsequently re-employed with a Scheme employer, such as a local authority or FE college.

Contacting Us

If you are a pensioner who has retired and been awarded either Compensatory Added Years (CAY) or an ill heath pension, you will need to contact the Pensions Section with details of your new Local Government employment. We will confirm to you in writing whether or not your pension will be affected.

You are under an obligation to notify the Pensions Section if you do recommence employment.

National Fraud Initiative

The Administering Authority is under a duty to protect the public funds it administers. From time to time it may use information provided to it for the prevention and detection of fraud and share it with other bodies administering public funds solely for these purposes. Continue reading —–>