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Press release: NHS pension scheme review partners welcome new pension framework

20 Oct 2005

NHS Employers and trade unions have welcomed the new framework for public sector pension schemes and said work on reforming the NHS pensions scheme would re-start next week.

NHS Employers and trade unions have been working together in partnership since 2003 to review the NHS pension scheme and make sure the scheme is fit for a modern NHS. They ran a public consultation earlier this year on a range of options and this resulted in 5,700 responses from staff.

Work was put on hold during the summer while the Public Service Forum came up with a framework for all public sector pension schemes. Each scheme will now take forward its own negotiations with a view to reaching a final agreement by June 2006.

NHS Employers and NHS trade unions will meet next week to discuss how to take forward negotiations on the NHS pension scheme that will build on their previous work and reach an agreement that is good for both NHS staff and NHS employers.

NHS Employers director Steve Barnett said:

"The new framework is a great step forward. A lot has changed since 1948 when the NHS was first set up. One major change is that people are living longer, healthier lives and are working longer. NHS Employers is pleased that the new framework has recognised this and has reflected it in the principles for new entrants. We are confident we will be able to create a new NHS pension scheme that will meet the needs of both staff and employers."

Eddie Saville of the Society for Chiropodists and Podiatrists and staff side review chair said:

"NHS unions are delighted that the new framework means existing scheme members will have the right to suffer no detriment in terms of their normal pension age and will retain their existing pension provision. We believe further improvements for existing scheme members can be realised and look forward to resuming negotiations with NHS Employers on this and on the development of a new scheme for new entrants to the NHS."

Notes for editors

1. In 2003, the Minister of Health invited the NHS Confederation to lead a review of the NHS Pension Scheme on behalf of employers and in conjunction with the Department of Health, the NHS Pensions Agency and the National Assembly for Wales. The review has worked in partnership with the NHS trade unions throughout the process.
2. The work of the review was handed to NHS Employers on its launch in November 2004. NHS Employers is the employers' organisation for the NHS and is part of the NHS Confederation. NHS Employers has its own director, policy board and assembly.
3. The NHS Pension Scheme review partners (including NHS Employers and trade unions) published a consultation document in January 2005 and ran a public consultation on a range of options. The consultation received 5,700 responses.
4. In March 2005, Secretary of State for Work and Pensions Alan Johnson offered fresh discussions with trade unions about the Government's policy on pension contributions. It was agreed that the Public Service Forum would come up with a framework for all the public sector pension schemes, which would be followed by scheme specific negotiations.
5. Further information about the NHS Pension Scheme review is available on our website.

Contact details

The press office provides a comprehensive service to keep journalists informed about the work of NHS Employers.

If you have a media enquiry, please contact the press office team:

• Gemma Jeffcoate
  0207 074 3308 or gemma.jeffcoate@nhsemployers.org
• Emma Stafford
  0207 074 3307 or emma.stafford@nhsemployers.org

For out of hours media enquiries, please contact the duty press officer on 07880 500726.

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