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THE OFFICE of the Deputy Prime Minister (ODPM) has issued new details of planned changes to fire service pension arrangements.
The plans to change the existing pension scheme and to develop a new scheme for those joining the service from 2006, are being finalised following consultation exercises. The ODPM will now carry out further consultation with unions and employers, before the new arrangements come into force in 2006.
The new arrangements are designed to tackle the high cost and inflexibility of the current scheme, providing schemes that are more affordable for firefighters and taxpayers.
For existing firefighters, the key changes to the current arrangements include raising the pension age from 50 to 55 years, and the reform of benefits paid on ill-health retirement from 2006. Those due to retire on, or before, April 2013 will be unaffected by the new pension age. A new recruit joining from April 2006 will get a new scheme, offering more flexibility, a choice of retirement age, partner pensions, increased death benefits and lower contributions.
Existing firefighters will have the option of switching to the new arrangements. Members who do so could save more than £1,000 per annum, compared with contributions to the current scheme. Pension provisions will also be available for the first time to retained firefighters.
Details of the new arrangements can be found via the fire section of the ODPM website, www.odpm.gov.uk
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