All Members Circular - PUBLIC CONSULTATION: PROPOSED INCREASES TO EMPLOYEE PENSION CONTRIBUTION RATES, EFFECTIVE FROM 1 APRIL 2013 – ENGLAND

4 December 2012


TO:      ALL MEMBERS


 

Dear Brother/Sister

PUBLIC CONSULTATION: PROPOSED INCREASES TO EMPLOYEE PENSION CONTRIBUTION RATES, EFFECTIVE FROM 1 APRIL 2013 – ENGLAND

The
(Westminster) government has published a consultation document that
outlines their proposed increases to employee contribution rates, which
would be effective from 1 April 2013. A copy of the consultation
document - Proposed Increases to Employee Contribution Rates, effective
from 1 April 2013 - issued on 29 November 2012 will be available to read
and download on the FBU website www.fbu.org.uk .

The
consultation document outlines the scope of the consultation, the
background behind the government’s case for increasing the
contributions, proposals for the schemes, a report of the opt-out
reviews and a draft amendment order for both the FPS and the NFPS.

Discussions
on this and other pension issues are still ongoing and members will
receive more information as the situation develops but for now it is
important that you are aware of the consultation document and its
contents.

Having said that here are some of the main points contained in the document to note:

•   
This proposal is for year 2 only (i.e. there are further increases
proposed for the future) and is a proposal for England only although
similar consultations will take place in relation to Scotland, Northern
Ireland and Wales.

•    The different increases proposed for the Firefighters’ Pension Scheme and New Firefighters’ Pension Scheme.

•    Tiered contributions are applied in salary bands.

•    Consultation ends on 25 January 2013.

The
FBU remains opposed to increases in employee contribution. We believe
there is no justification for such increases with FPS and NFPS members
already paying extremely high rates of contribution. The union has been
preparing evidence outlining our opposition towards any further increase
in employee contributions which will be included in our response to
this document.

This evidence will sit alongside our developing
evidence against proposals on pension age. Discussion on that matter is
continuing and further reports will be issued as soon as possible.

Best wishes.

Yours fraternally
 

MATT WRACK
GENERAL SECRETARY

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