Covec.
No, as I understand it, any one in NOW will have reserved rights to the present pension scheme. You cannot lose out if the new scheme to be introduced turns out to be less favourable. So under today’s scheme you will get a tax-free gratuity and an immediate pension.
HOWEVER if the treasury decides to tax gratuities or do anything else underhand to pensions IN GENERAL then NO ONE will be exempt, civil or military and you could be worse off because of general legislation in force at the time you retire.
It has been a factor in my decision to jump ship sharpish I have to admit. The problem with pensions in the civilian world is taking on crisis proportions and it is my opinion that tax-free gratuities such as ours may well disappear within a few years.
