NHS: Pensions

(asked on 9th February 2022) - View Source

Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, if he will make it his policy to maintain the suspension of the NHS pension abatement rules under the Coronavirus Act 2020 after 25 March 2022 while the NHS continues to experience the effects of the covid-19 outbreak; what assessment he has made of the impact of the suspension of the abatement rules on the number of hours worked in the NHS by retired and partially retired staff during the covid-19 outbreak; and if he will make a statement.


Answered by
Edward Argar Portrait
Edward Argar
Minister of State (Ministry of Justice)
This question was answered on 21st February 2022

Since March 2020, the 16 hour rule, abatement of Special Class members of the 1995 Section (staff with the reserved right to retire at 55 without an actuarial reduction) and abatement of draw down members in the 2008 Section and 2015 Scheme have been suspended. Abatement does not apply generally in the scheme, but it does apply to Special Class staff who return to work between age 55 – 60. Abatement recognises that Special Class members have a significant benefit not available to other staff in the National Health Service (NHS).

It is difficult to measure the number of additional hours worked due to Section 45, but the pension measures allow thousands of retired and partially retired staff to increase their working commitments without the risk of having their pension benefits suspended.

Once abatement is resumed, the Special Class closed cohort will still be able to continue working for the NHS; typically at least half time. The vast majority of staff are not subject to abatement after taking their pension.

The Department is currently consulting on a proposed continuation of the easements to 31 October 2022. The consultation was launched on 15 February and is open to 1 March.

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