The Teachers’ Pension Scheme (Amendment) Regulations Consultation 2024

The Department for Education (DfE) is consulting on proposed amendments to the Teacher’s Pension Scheme regulations. 

Amendments need to be made to adjust the member contribution tiers. Primary legislation requires members to collectively contribute 9.6% of pay towards the scheme benefits they are accruing. Periodical valuations are conducted and the latest one identified that the projected yield for overall member contributions, based on the current structure, would be 9.45% for the current period. Consequently, work has been carried out with the Government Actuary’s Department and the Scheme Advisory Board (made up of member and employer representatives) to identify an adjustment that will achieve the required average yield of 9.6%, that is fair to all and protects the lowest paid members. The proposed change to the member contribution tiers is outlined in detail in the consultation document.

The draft regulations also update provisions on Fair Deal to include Further Education establishments. The Fair Deal provisions allow members who are in scope to retain access to the TPS if they are transferred from a public sector employer to one in the private sector under Transfer of Undertakings (Protection of Employment) (TUPE) terms. HM Treasury has overall responsibility for public service pension scheme rules and is consulting on changes to the Fair Deal policy following reclassification of Further Education as public sector organisations by the ONS.

Other minor amendments are also needed to ensure the regulations are up to date and reflect the longstanding policy.

This consultation seeks responses from those likely to be affected by the proposed regulations. Once the consultation has closed, the DfE will consider all feedback before publishing its response.