Policy paper

Public Service Pensions – Cost Control Mechanism and the Reformed Scheme Only Design

Further detail on the operation the new ‘reformed scheme only design’ for the Cost Control Mechanism in Public Service Pension Schemes.

This was published under the 2022 to 2024 Sunak Conservative government

Documents

Details

This policy statement provides further details on how the ‘reformed scheme only’ design of the public service pensions cost control mechanism will operate from the 2020 valuations onwards, including the interaction with McCloud remedy.

Collectively, the approaches to the reformed scheme only design CCM set out in this policy statement for both the unfunded and Local Government Pension Scheme (LGPS) schemes aim to ensure that only costs of the reformed schemes will be assessed by the CCM from the 2020 valuations onwards. As the McCloud remedy relates to the legacy schemes, this impact will be removed, so that the remedy will not materially impact the CCM from the 2020 valuations onwards.

Updates to this page

Published 15 May 2023

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