Policy Screening Template - The Public Service Pensions (Exercise of Powers Compensation and Information) (Amendment) Directions (Northern Ireland) 2025
Date published:
This policy screening document relates to The Public Service Pensions (Exercise of Powers, Compensation and Information) (Amendment) Directions (Northern Ireland) 2025 which the Department of Finance will be making under the provisions of the Public Service Pensions and Judicial Offices Act 2022 (the Act).
The Act provides a remedy for members of public service pension schemes who were affected by discrimination that arose when reforms were introduced in 2015. The purpose of the proposed amending directions relates to the updating of references contained in the Public Service Pensions (Exercise of Powers, Compensation and Information) Directions (Northern Ireland) 2023 and to clarify some matters.
The amending directions are technical in nature and the proposed changes include providing flexibility to collect pension overpayments net of tax and calculate interest net of tax amount. In addition, and where it is administratively more practical for schemes, an amendment will enable schemes to use the tax year when calculating interest rather than pension scheme year. This flexibility to use either will help schemes when determining the midpoint for calculation of overpayments and interest due on remedy amounts.