PPRuNe Forums - View Single Post - Pension Annual Allowance... exceeded?!?
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Old 6th Jan 2021, 14:12
  #45 (permalink)  
Fortissimo
 
Join Date: Jun 2008
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Age: 67
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Except it doesn’t say that. It says the age based transitional protection was unlawful; that is to say it was unlawful to allow some to remain on their old pension simply because they were over a specific age on a certain day. The simply answer is to transition everyone - regardless of age - onto a new scheme.
You cannot provide the required remedy that way, because the people who were allowed to stay on their old scheme and who now have those pensions in payment will still have an age-related advantage unless you take retrospective action to redefine their pension benefits - that would certainly keep the lawyers in clover for a year or two. What the McLeod remedy will do is provide everyone the same choice of scheme regardless of age, backdated to the start of the remedy period. The whole system will be reset from Apr 22 when transition to AFPS 22 for the remainder of your service will not be optional.

As JTO points out, the Govt decision, which will affect all public sector pensions, will be on whether an election has to be made by date TBD or whether it comes at your final pension point (or possibly at another Benefits Cystallisation Event). Your decision on 'stick or twist' will affect you for the rest of your life and you need to make sure you take professional advice. As a minimum you need to do the maths - it is possible to fudge the AFPS pension calculator by giving it an incorrect date of birth to make it think you would have had the option to stay on AFPS75, but it won't give you an entirely accurate answer. DBS, the scheme administrator, is eventually going to have to provide everyone with an illustration of their benefits (on a case-by-case basis because nobody has the same DOB and career profile) so that you can make an informed decision. What MOD will not do is give you advice, nor will the FPS - that is why you need an IFA. Whatever he/she costs you, it will be less than you will cost yourself if you make the wrong call.
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