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Pension reforms for military outlined by MoD

Published: 31st Jul 2012 18:51:54

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The age at which members of the armed forces claim pensions could rise from 55 to 60 under government reforms.

The Ministry of Defence says the changes are necessary to ensure pension schemes for military personnel are affordable and sustainable longer term.

It says service personnel will not have to contribute personally and will get a lump sum if they leave after the age of 40 with the required years of service.

The new conditions would be introduced from April 2015.

The MoD insists those in uniform will still have better terms than most other public sector workers.

It says the normal pension age will be 60, whereas other public service pensions are linked to the state pension age, which is considerably higher.

Minister for Defence Personnel, Welfare and Veterans, Andrew Robathan, said: "The government has had to make some tough decisions to ensure sustainable public service pensions which provide a fair deal for both service personnel and for the taxpayer.

"We recognise the unique commitment made by the Armed Forces and we have done all we can to protect them and make these changes in the fairest way possible.

"The proposed new scheme will remain among the very best available in the public or private sector, with no individual contributions required by service personnel."

The MoD says the reforms were conceived after consultation with more than 17,500 personnel in the UK and overseas.

It has promised to consult further before bringing the changes into force.

Source:
BBC NewsExternal LinkShow Citation

Harvard Citation

BBC News, 2012. Pension reforms for military outlined by MoD. [Online] (Updated 31 Jul 2012)
Available at: http://www.ukwirednews.com/news.php/1443772-Pension-reforms-for-military-outlined-by-MoD [Accessed 19th June 2013]
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