Additional Notes for Councillors

These notes provide an explanation of the information contained in your benefit statement.
When can you take your benefits?

Deferred benefits become payable at age 65 (unless you opt to defer payment beyond that age), but may be paid at any age in the event of ill health, without reduction.

You can also elect to receive your benefits early:

  • on or after age 50 (but before age 55) with your council's consent
  • at age 55 or later, without your council's consent. *

* Please be aware that the government is gradually increasing the early retirement age, and this will reach 57 by 2028.

Your pension (unless being paid on the grounds of permanent ill health) will be reduced if you choose to receive it before age 65. The reduction will depend on how early it is paid:

 Years early Reductions 
  Pension Lump sum 
 1  5.1% 2.3% 
 2  9.9% 4.6% 
 3  14.3% 6.9% 
 4 18.4%  9.1% 
 5 22.2%  11.2% 
 6 25.7%  13.3% 
 7 29.0%  15.3% 
 8 32.1% 17.3% 
 9 35.0%  19.2% 
 10 37.7%  21.1% 

There is information on our website about how to claim your pension.

If you take your pension after age 65, increases will be applied.

At any time, the Government may change the factors and methodology used to calculate the reductions and increases. This may result in a corresponding change to the pension you are paid at retirement.


Protect yourself against pension scams

The LGPS is a defined benefit pension scheme. The Financial Conduct Authority (FCA) and The Pensions Regulator (TPR) have stated that they "believe that it will be in most peoples best interests to keep their defined benefit pension.  If you transfer out of a defined benefit pension, you cannot reverse it. Make sure that you understand the risks to help you make an informed decision".

Pension fraud is a real concern and on the increase. If you are thinking of transferring your deferred pension out of the LGPS you may be at risk from scammers. Scam tactics include:

  • websites impersonating well known brands,
  • promise of high investment returns,
  • pressure to act quickly,
  • free pension reviews,
  • access to your pension before age 55,
  • contact out of the blue.

Many scammers are using social media and other online channels to offer people "too good to be true" incentives such as free pension reviews, early access to their money, or time limited offers. Lured by these attractive offers, people are coerced into transferring their savings into a scam scheme designed to fleece them of their savings.

Please read the guidance document produced by The Pensions Regulator.

To protect yourself from scams the Pensions Regulator suggests the following:

  • reject unexpected offers and any contact out of the blue,
  • check the Financial Services Register to confirm if the person offering you advice is authorised - avoid unauthorised advisers,
  • don't be rushed or pressured into transferring your pension,
  • get impartial advice (you must do this if you want to transfer more than £30,000 but it is always recommended),
  • contact Money Helper for free independent impartial information and guidance.

Beware:

  • Any offer of a free pension review if likely to be a scam.
  • Ask to see the HM Revenue and Customs approval of your new pension scheme - if the scheme is recently registered, it may be a scam.

For further detail and information please visit our Pension Scams page.

AVC statements

Please note AVC statements are sent separately – they are not included in your annual benefit statement.

Previous Years' Annual Benefit Statement Notes