Response to the NHS pension scheme contribution rates: DHSC consultation on member contribution rates

NHS Providers responds to the Department of Health and Social Care’s consultation on proposed changes to NHS pension scheme member contributions from 1 April 2022. In this submission we:

• Disagree with the proposed changes to tiered contribution rates which will affect middle and lower-banded staff at a time of increased cost of living.
• Agree with the proposal for contribution rates to be based on actual pensionable pay instead of member’s notional whole-time equivalent pay as this will benefit those who work less than full time, particularly older staff and women.
• Agree with the proposed alignment with Agenda for Change (AfC) pay awards to prevent members suffering from the ‘cliff-edge’ effect which would move them into a higher tier as a result of a marginal uplift.
• Agree in principle with the proposed structure being implemented over a two-year period to reduce impact on take home pay.