About the Alpha scheme
The Age Discrimination (McCloud) Remedy requires that members in scope are reverted to their legacy scheme for the remedy period (1 April 2015 to 31 March 2022) but from 1 April 2022 all active members will have prospective membership in the Alpha Scheme. This means that there is no further accrual in Classic, Classic Plus, Premium and Nuvos schemes but final salary linking continues (for those who do not have a break in pensionable service of 5 years or more).
The Alpha scheme has an accrual rate of 2.32% of each year's actual pensionable pay going towards a pension. This is revalued in line with inflationary adjustments which means that the value can decrease as well as increase.
Employee contributions and member contribution rates depend on earnings (see below).
Member contribution rates
1 April 2024 - 31 March 2025
| From | To | Contribution rate |
|---|---|---|
| £0 | £32,000 | 4.60% |
| £32,001 | £56,000 | 5.45% |
| £56,001 | £150,000 | 7.35% |
| £150,001 | - | 8.05% |
Employer contribution rates
1 April 2024 - 31 March 2027
| Band | Revised (1 April 2024 to 31 March 2025) |
|---|---|
| Band 1 (£23,000 and under) | 28.97% |
| Band 2 (£23,001 to £45,500) | 28.97% |
| Band 3 (£45,501 to £77,000) | 28.97% |
| Band 4 (77,001 +) | 28.97% |
Mini-ASLCs for partnership are 0.5%, regardless of salary band.
Benefits are payable without reduction from State Pension Age and can be taken from age 55 with an actuarial reduction.
A lump sum can be taken up to a maximum of 25% of the fund value by commuting annual pension in favour of a lump sum at a rate of £1 of annual pension in favour of £12 of lump sum.
Read more details about the benefits of the Alpha scheme.