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Police Pensions (550_15)


I assume you are aware (and if not you should be) that many thousands of police officers (and firefighters) who took their pension and commuted part of it for cash from 1998 to 2007 had out of date values applied to the calculation of their lump sum. No revision of the commutation factors took place during that period. The issue is that this resulted in lower payments than should have been the case as longer life expectancy and other factors were increasing `actuarial¿ values over that period.

In 2008 new tables were announced. These were applied and later backdated to retirement dates in 2006. These tables increased the value of the lump sum for the majority of retirees by around 25% overnight. A later revision of factors produced in 2011 increased this margin still further.

Had interim tables been produced in the intervening period, as required by law, it is reasonable to assume that at least part of the increase would have been reflected in those tables resulting in higher pay outs between the stated dates.

The Pensions Ombudsman has promised a provisional decision in spring 2015. Also see Early Day Motion 768.

I am aware that one Police Authority has made a sum in excess of £3 million pounds available in their 2014/15 budget should they have to make payments to officers concerned.

Has the West Midland made a similar amount available?


West Midlands Police have not set aside a monetary budget for this specific issue. Instead, general resources are set aside and can be accessed if required.


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