Scheme benefits

From 1 April 2008, Scheme benefits depend on whether you are a member of the NHS Pension Scheme or a member of the New NHS Pension Scheme. (Not sure? – go to our decision tree Which Scheme am I in? that can be found in the members’ library)

However, members both Schemes are entitled to:

  • A pension linked to pay and service. Benefits are fully guaranteed and will increase each year to keep pace with inflation.
  • Immediate Life Assurance of twice annual pay from the first day of joining. This is a tax free lump sum payable to anyone or your estate.
  • Pensions and allowances for your spouse , civil partner, qualifying unmarried partner**, and children if you die.
  • A tax free lump sum (optional in the case of members of the New NHS Pension Scheme)
  • Voluntary early retirement* from age 50* (NHS Scheme) or 55 (New NHS Scheme) – members will receive an actuarially reduced pension because the pension will be paid earlier and for longer.
  • Pensions and allowances are fully index linked to protect their value. Benefits are guaranteed and are based on your pay and membership of the Scheme.

In addition members :

  • do not pay administration costs.
  • Can transfer pension benefits into and out of the Scheme. If you change jobs in the NHS your membership will normally continue.
  • can increase contributions to get bigger benefits.

Note: As well as differences between benefits associated with the NHS Pension Scheme and the New NHS Pension Scheme, details also vary according to whether you are an NHS employee, work in a general practice or other non-nhs organisation (eg direction body), are a general, dental or ophthalmic practitioner, or a GP locum. Go to the members library for booklets about the NHS Pension and New NHS Pension Schemes that cover these categories

* restrictions apply – see the Guide to the Scheme (booklet SD) that can be found in the members’ library

** Nominated qualifying partners in exclusive long term committed relationships of at least two years and are either financially dependent or inter-dependent