Search the website

The amended and new NHS pension schemes- Redundancy

October 2008

Please note that since 1 April 2008 the NHS pension scheme has been significantly amended and a new scheme created alongside. This guidance details how redundancy may affect members of both the amended NHS pension scheme as well as the new NHS pension scheme. Members of other occupational pension schemes may wish to contact the BMA Pensions Department for further guidance on the terms relating to those schemes.

Disclaimer
While all reasonable efforts have been made to ensure the information contained in this guidance is accurate, no representations or warranties are made (whether express or implied) as to the reliability or completeness of such information. The BMA therefore cannot be held liable for any loss arising directly or indirectly from the use of, or any action taken in reliance on, any information appearing in this guidance.

Notes

• This membership guidance gives general guidance only and should not be treated as a complete or authoritative statement of the statutory provisions governing the NHS pension schemes.
• This guidance applies to the NHS pension schemes. BMA members who are members of other schemes (ie USS, PCSPS) should contact the BMA Pensions Department for individual advice.
• All BMA guidance in the pension series can be found on the BMA website at www.bma.org.uk
• Individual pensions guidance is available from the Pensions Department at BMA House in London; members in Scotland can obtain guidance from BMA Scotland in Edinburgh.
• When contacting the BMA always quote your current BMA membership number.
• The BMA Pensions Department is not authorised under the Financial Services and Markets Act 2000 and cannot give financial advice nor say what options are appropriate. Much will depend on your individual circumstances. Members requiring such guidance can receive this through BMA Services and its accredited partner AWD Chase de Vere Wealth Management. Simply visit www.bmas.co.uk or telephone 0845 609 2008 to arrange an appointment with an independent financial adviser.
• Every effort was made to check accuracy at the time of publication but there may have been later changes.

Introduction
The redundancy factsheet provides information on the benefits payable from both the amended and new NHS pension schemes and from the employer in the event
of redundancy.

The rules governing redundancy changed on 1 December 2006 and the changes are explained in this guidance. The new rules, effective from that date, provide only for a redundancy payment (which can be exchanged for unenhanced pension benefits) and apply to both schemes. The transitional rules, based on the old redundancy regulations, apply only to those in the amended scheme.