Members: Active members



The following Q & A’s are based on a member having at least 2 years membership, which can include previous pension rights transferred into the Fund.

I am being made redundant will my benefits be paid immediately?

If you at least 55 years old and you are made redundant, or you are retiring with your employer’s consent through business efficiency, your retirement benefits are payment immediately.

Will my benefits be reduced?

If you lose your job because of redundancy or business efficiency, your main benefits are payable immediately without any early retirement reductions.

Will I receive a statutory redundancy payment?

If your employer makes you redundant, you will be eligible for a statutory redundancy payment from your employer. You will need to contact your employer for details of any statutory redundancy payment.

Will I be granted extra pension?


Your employer can award additional annual pension, to help to compensate for membership that you may lose because you are being retired early, up to £6,500 (less any amount of additional annual pension your employer has already contributed towards or is contributing towards under a shared cost additional pension contributions contract).

Additional pension is granted at the discretion of your employer, so no member has an automatic right to be awarded it.

Because your employer will have to meet all the costs of awarding additional pension they may choose to grant you the maximum pension, a smaller pension, or nothing at all.

How will I know what my employer’s policies are?

All employers have to publish policies stating how they intend to exercise their discretion in relation to:

  weekly pay for redundancy purposes

  augmentation of membership/awarding additional pension

If you haven’t seen a copy of your employer’s policy, contact your Pensions/Personnel Officer.

What happens if I do not qualify for immediate payments of benefits?

Once you have left, your benefits will automatically be deferred and fully inflation-proofed in the LGPS until they come into payment. You can, if you wish, choose to transfer the value of them into another pension scheme or arrangement. An option to transfer must be made at least 12 months before your Normal Pension Age.

Your deferred benefits will usually come into payment when you reach your normal retirement age. You can, however, choose to take your benefits early from:

  age 55; benefits paid before Normal Pension Age will be reduced to take into account early payment, (unless you qualify for the protections of the 85 Year Rule - see below).

  any age due to ill-health.


85 Year Rule

Applies to people who were members before 1 October 2006. You can retire without reduction to your benefits if your age last birthday plus the total amount of your membership of the Scheme in whole years adds up to at least 85. If you meet the rule of 85 before the age of 60 it does not give you an automatic right to retire, any retirement under the age of 60 is at the discretion of your employer.

Partial Protection

If you were born after 31st March 1960, and are at least 60 years old and you choose to voluntarily retire before age 65 but you would have met the 85 year rule by then, the part of your benefits based on your membership to the 31st March 2008 will be paid without reduction. The rest of your membership will be reduced to take into account early payment.

No Change

If you cannot meet the rule before age 65 your benefits would have always been reduced if you choose to voluntarily retire before age 65.