This proposed law seeks to reform pensions across the public sector. It would also make other changes to the rules related to judicial offices. The pension reforms partly respond to a finding of unlawful discrimination in existing schemes and are partly aimed at improving the operation of public sector pensions. The changes relating to judicial offices are intended to improve recruitment and retention in the judiciary.
Public Service Pensions and Judicial Offices Bill [HL] (339 KB , PDF)
On 7 September 2021, the House of Lords is scheduled to debate the second reading of the Public Service Pensions and Judicial Offices Bill [HL].
The bill contains provisions in a variety of areas. First, for all public service pensions, it seeks to remedy unlawful discrimination that arose when existing public schemes were closed to certain members between 2014 and 2016. It proposes separate remedies for judicial schemes, local government schemes and all other public sector schemes.
The remedies follow a series of consultations. They are expected to cost around £17 billion. It is not yet clear who will bear these costs.
Other measures in the bill that change the reformed pension schemes brought in between 2014 and 2016 include reforming the ‘cost control mechanism’ (CCM). This was intended to protect both member benefits and the cost to the taxpayer from unforeseen changes in pension scheme costs. The reforms are aimed at striking a fairer balance between scheme members and taxpayers than was initially the case and making the CCM more stable.
Finally, the bill contains a number of provisions that aim to improve recruitment and retention in the UK judiciary. Some of these relate to the judicial pension scheme. The Government proposes to introduce further reforms, for example to make the scheme exempt from pension tax-free contribution limits and to improve accrual rates.
Other measures are unrelated to pensions. They include:
The House of Commons Public Accounts Committee has criticised the Government for being overly focused on the cost of public pensions to the taxpayer. The committee argued there should be greater consideration of the benefits of pensions, such as in recruiting and retaining staff and in reducing the future cost of welfare benefits. It also argued for further evaluation of the 2014 to 2016 reforms.
Public Service Pensions and Judicial Offices Bill [HL] (339 KB , PDF)
The government recently announced an independent review of physician and anaesthesia associates to be led by Professor Gillian Leng. This announcement followed a debate about the use of the roles in the NHS and concerns raised by some stakeholders about patient safety. The review has been widely welcomed by stakeholders as a way to move the debate forward.
The idea of civil service impartiality, defined as the ability to serve the government of the day without fear or favour, is one of the core values promoted by the civil service code. Several recent events have led to debate on whether the civil service has become more politicised and the extent to which that is desirable. This briefing examines that history, and the arguments for and against a more politicised civil service, ahead of a forthcoming debate in the House of Lords.
In the autumn budget the chancellor announced changes to inheritance tax reliefs. From April 2026, taxes would apply to agricultural assets over £1mn (or up to £3mn in certain circumstances). The government has said this will just affect the wealthiest landowners and disincentivise buying agricultural land to avoid tax. Farming groups have argued the policy is a threat to the future of family farming.
