Public sector pensions overpayment advice
Published: 16 December 2008
Up to 95,000 public sector pensioners may be affected by a pensions overpayment which has been in effect since 1978. The exact amount that may have been overpaid to an individual is unlikely to be known until February 2009. Only those who have an occupational pension and are past the state retirement age are affected. The NHS Business Services Authority (NHSBSA) has written to all those who may be affected by this issue
The overpayment appears to have occurred because a small number of NHS pensioners did not have a Guaranteed Minimum Pension (GMP) shown on their pension record. This meant that they received increases to their pension twice; once with their occupational scheme and again with their state pension. The result of this is that their pension has been overpaid.
The overpayment will not be claimed back but the new correct pensions will be paid from April 2009. This means some pensioners will have their pension reduced from this date. However, as this is the month in which pensions are uplifted for inflation, the loss to some may be mitigated.
The RCN Employment Relations Department has issued advice to concerned members that everyone will continue to receive their current pension until 05 April 2009. If you receive a letter this month (December 2008) from the NHSBSA, they will contact you again before the end of February to let you know you have definitely been affected by this issue and any impact this may have.
The RCN website will be updated to keep members informed of any further developments on this issue.
Further information
Read more, including the questions and answers document on the NHS Business Services Authority website or telephone the Government helpline: 0845 6101115 (local rate calls).