Public Sector: Workplace Pensions

The McCloud remedy took effect from October 2023 and will deliver a full remedy to all affected public service pension scheme members. Schemes and responsible departments are making progress to ensure the remedy is delivered as quickly as possible. All affected members will receive a remediable service statement setting out the details of their pension entitlements and there are a range of other communication resources available to members. Pensioner members can make their remedy choice on receipt of this statement and active and deferred members will make their choice at retirement. The remedy has been estimated to increase pension entitlements by around £17bn. This will be paid out over many decades and in September 2024 the OBR forecast that spending on public service pensions will fall from 1.9 per cent of GDP at present to 1.4 per cent over the long term (50 years).