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Govt offers pension concession to lower-paid NHS staff


NHS staff earning less than £26,500 will not face any increases in pension contributions next year, although higher paid workers will see an extra increase in contributions to pay for it, according to reports.

The Times says the Government has offered the concession which will mean 630,000 NHS workers will pay nothing extra towards their pensions in 2012.

It adds ministers hope the concession could lead to such an agreement being extended across the public sector to include 2.6 million workers.

The move follows widespread strikes by the public sector last week over pension reforms.

In July 2010, the Treasury offered to protect all public sector workers earning less than £15,000 from increase, with workers earning between £15,000 and £21,000 paying an additional 0.6 per cent of their salary in 2012, and 1.5 per cent by 2014/15. Workers earning more than £21,000 were due to pay up to an additional 2.4 per cent from April.

The Times says under the new offer those earning between £26,000 and £70,000 will pay between 1.5 and 2.4 per cent more, on top of the increase announced last July.


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  1. So if you did the full 40 years you would come out with a pension worth about £400k? So what ‘concessions’ is the government offering to all of those private sector workers earning less than £26,500 a year to give them a fair chance of building a similar pension pot – not to mention funding the other benefits such as death-in-service @ 3-to-4 x salary, ill health retirement with immediate enhanced pension etc.

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