2015 Scheme Tools & Resources
Key 2015 Scheme Features
Normal Pension Age
State Pension Age (currently 66-68)
Accrual Rate
1/54th of pensionable pay each year
Revaluation
CPI + 1.5% (capped at 2.5%)
Flexibility
Partial retirement and wind-down options
2015 CARE Scheme Overview
The NHS 2015 Scheme is a Career Average Revalued Earnings (CARE) pension providing modern, flexible benefits:
Key Features:
•Career Average design - pension built from all years of service
•Annual revaluation to maintain purchasing power
•Normal Pension Age linked to State Pension Age
•1/54th accrual rate providing competitive benefits
•Flexible retirement options from age 55
Modern Benefits:
•Partial retirement while continuing to work
•Wind-down provisions for gradual retirement
•Enhanced survivor benefits
•Improved ill-health provisions
•No maximum service limit
All active NHS staff are now members of the 2015 Scheme. Active members of legacy schemes moved across on 1 April 2022.
CARE Pension Calculation
Career Average calculation builds pension year by year:
Annual Pension Build-Up:
•Each year: Pensionable pay ÷ 54 = pension earned
•Example: £30,000 ÷ 54 = £555.56 pension for that year
•Revaluation applied annually to maintain value
Revaluation Process:
•Previous years' pension increased by CPI + 1.5%
•Maximum increase: 2.5%
•Minimum increase: 0%
•Applied each April to all accrued pension
Total Pension Calculation:
•Sum of all revalued annual pension amounts
•Plus any transferred-in benefits
•Protected rights from legacy schemes
•McCloud remedy choices for 2015-2022 period
Member Contributions
Tiered contribution structure based on whole-time equivalent pay:
2026/27 Contribution Rates:
•Up to £13,259: 5.2%
•£13,260 - £27,797: 6.5%
•£27,798 - £33,868: 8.3%
•£33,869 - £50,845: 9.8%
•£50,846 - £65,190: 10.7%
•Over £65,191: 12.5%
Employer Contributions:
•Standard rate: 23.7% of pensionable pay
•Covers pension, lump sum death benefit
•Includes administration costs
•No employee contribution to employer rate
Flexible Retirement Options
The 2015 Scheme offers various flexible retirement pathways:
Partial Retirement:
•Draw some pension while continuing to work
•Reduce hours or grade while accessing benefits
•Continue building pension on reduced pay
•Available from minimum pension age (55)
Wind Down:
•Gradual reduction in pensionable pay
•Protection against pension reduction
•Maximum 5-year wind-down period
•Must be genuine reduction in responsibilities
Phased Retirement:
•Multiple partial retirements possible
•Each pension drawn separately
•Flexibility to match individual circumstances
•Employer agreement required
McCloud Remedy and 2015 Scheme
The McCloud remedy affects 2015 Scheme members:
Remedy Period (2015-2022):
•All eligible members moved to 2015 Scheme
•Choice available at retirement
•Compare 2015 benefits vs legacy scheme benefits
•Deferred Choice Underpin ensures best outcome
Post-2022 Position:
•All members remain in 2015 Scheme
•Continued CARE benefit build-up
•Annual revaluation protection
•Modern flexible provisions apply
Key Considerations:
•No immediate action required
•Choice made when benefits crystallize
•Full information provided at retirement
•Professional advice available for complex cases
Modern, Flexible Pension Scheme
The 2015 Scheme provides a modern pension structure with built-in protections against inflation and flexible retirement options. The McCloud remedy ensures you can choose the best benefits for the 2015-2022 period while continuing to build valuable pension benefits going forward.