Background Information - 2015 Remedy (McCloud)
Important background information and relevant public consultations are collated below for ease of reference.
Background
In 2015, the Government introduced reforms to public sector pension schemes. This resulted in the establishment of a number of new reformed schemes across the public sector.
In 2018, the Court of Appeal held that the transitional protection, offered to members who were closer to retirement age gave rise to unlawful discrimination.
2015 Remedy (McCloud) - Public consultation for 2nd phase of the remedy - Publication of Response - Updated September 2023
In April this year, the Department of Finance launched a consultation on how phase two of the McCloud Remedy will be implemented. The consultation closed on 2 June 2023. After careful consideration of the 98 responses, the Department will continue with the proposed legislation which will be made in advance of 1 October 2023.
You can find more information about the consultation and published response documents at Consultation on NICS Pension Scheme Retrospective Remedy
Response to the Consultation covering planned closure of the PCSPS(NI) (the legacy scheme) – updated March 2022
The Department of Finance consultation on the draft Statutory Rule for the Prospective Remedy in relation to work to remove the discrimination identified in the judgment known as “McCloud” has now concluded. The consultation response document can be accessed via the link below and provides an analysis of the responses received and the Department of Finance’s approach to this important first step to end the discrimination identified in by the Court of Appeal in 2018. Having considered all responses, the Department of Finance has made the necessary legislative changes to close the PCSPS(NI) to future service accrual after 31 March 2022 and transition all remaining active PCSPS(NI) members to the alpha pension scheme from 1 April 2022.
The Public Service Pensions and Judicial Offices Act 2022
The Public Service Pensions and Judicial Offices Bill has become the Public Service Pensions and Judicial Offices Act 2022 after receiving Royal Assent on 10 March 2022. A summary of the main elements of the Act can be found within the article page Summary of the Act.
The Act is also published and available at on the leglislation.gov.uk website Public Service Pensions and Judicial Offices Act 2022(external link opens in a new window / tab)
Public service pension schemes consultation - updated February 2021
The public service pensions consultation to remove the discrimination identified by the courts in the 2015 pension reforms, which ran from 19 August 2020 to 18 November 2020, has now closed and Department of Finance have published a response on 25 February 2021.
Further information is also available within the consultation FAQs.
More information on the position in January 2021 can be found below:
January 2021 - Background Information of the McCloud Judgment