The Local Government Pension Scheme – Fair Deal proposals

The Ministry of Housing, Communities and Local Government has published its long expected proposals to change the Local Government Pension Scheme (LGPS) in response to the Fair Deal changes introduced in 2013.

This briefing will be of interest to:

1. Authorities and other bodies with staff in the LGPS, and

2. Service Providers (contractors and organisations which provide services to Authorities and/or other bodies participating in the LGPS, where those services involve the transfer of staff).

It is only relevant to England and Wales, although the Scottish Government (and when it starts functioning again, the Northern Irish Executive) may replicate these changes in respect of the Scottish LGPS and the LGPS for Northern Ireland.

Higher Education Institutions are not Fair Deal employers (as defined in the proposed new regulations). While these changes will not automatically apply to any outsourcing arrangements they put in place, they can choose to adopt them in contractual arrangements.

While this is a consultation, draft regulations changing the LGPS have been published. We expect these...