How a CARE scheme works

In a CARE scheme the pensionable pay for each year of membership is used, in order to calculate a pension amount for that particular year. Every scheme year (1 April to 31 March) an amount equal to a 49th of your pay in that year is added to your pension account. If you are in the 50 / 50 section an amount equal to a 98th of your pay is added in that year.

That pension amount is then revalued each year in line with inflation (it should be remembered that, while your CARE pension might be expected to increase each year, the pension amount could be reduced should there be negative inflation). These individual pension amounts are then added together to arrive at the total pension payable from the scheme.

Your normal retirement age is linked to the State pension age, which over time will be later than age 65. For more information on your specific benefits please contact us or to access your information via secure logon please use this link.

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I joined the Scheme prior to 1 April 2014

You are member of the LGPS Career Average Revalued Earnings (or CARE) scheme. Following the introduction of the CARE scheme for the LGPS from 1 April 2014 a number of protections are in place for those individuals in the scheme on 31 March 2014.

The benefit you have built up in the LGPS to 31 March 2014 is safe, so you won't lose out on any of the previous benefits you have earned. Only the benefits you build up in the LGPS from 1 April 2014 onwards are based on the rules of the new scheme.

The benefits built up in the LGPS to 31 March 2014 will be calculated using your final pay (as defined in the LGPS as at 31 March 2014) when you eventually leave the scheme or retire. As a result, you will receive the benefit of all future pay increases and promotions when assessing the final pay to be used in calculating your pre 1 April 2014 LGPS benefits.

The benefits you build up in the scheme from 1 April 2014 will have a normal retirement age linked to the State Pension Age. If you have a different normal retirement age for benefits built up before 1 April 2014 this will be retained.

The rule of 85 protection has changed. As the rules governing this area are complex please contact us for more information.

  • For service from 1 April 2008 to 31 March 2014

    1/60 of your final pensionable pay for each year (if you have any period of part-time service your final pensionable pay will be the full-time equivalent).

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  • For service before 1 April 2008

    1/80 of your final pensionable pay for each year (if you have any period of part-time service your final pensionable pay will be the full-time equivalent). In addition, you will receive a tax free lump sum equal to 3 times your pension in relation to service prior to 1 April 2008.

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Option to increase your lump sum

You may have the option to increase your tax free lump sum by exchanging some of your pension built up after 1 April 2008.

For more information on your specific benefits please contact us or to access your information (including your benefit statement) via member self service please use this link.