Section 3.2 - Overview of schemes

• alpha contributions and benefits
• nuvos contributions and benefits
• premium contributions and benefits
• partnership contributions and benefits
• classic contributions and benefits
• classic plus contributions and benefits

alpha is a Defined Benefit scheme (Career Average - CARE). Benefits are calculated using a proportion of pay earned in each scheme year of active service (a scheme year runs from the 1 April to 31 March).

New entrants can join alpha or open a partnership pension account (see table 4), subject to their eligibility.

Contributions

• Members contribute a percentage of their pensionable earnings
• Members receive tax relief on contributions subject to HMRC limits
• You pay a monthly contribution (ASLC) to the Cabinet Office Civil Superannuation Vote for each member. It is the equivalent of the employer's contribution to a funded scheme
• Members may buy added pension or contribute to a money-purchase top-up arrangement – see Section 5 - Your responsibilities when staff are in service
• The extra pension can be bought either through regular payments or by lump sum 
• Members can contribute toward an EPA pension account. see Section 5 - Your responsibilities when staff are in service

Find out more about contributions

Benefits

• Not based on final salary. The pension builds up at 2.32% of pensionable earnings each scheme year. The pension will be adjusted in line with inflation every scheme year and when it is in payment, as advised by HM Treasury.
• Members can exchange some of their pension for a tax-free lump sum on retirement. For each £1 of annual pension given up, the member will receive £12 of lump sum. There are restrictions, set by HM Revenue and Customs, on the total amount of the lump sum 
• Ill-health retirement benefits
• Lump sum death benefits  
• Family benefits for members' dependants
• Payments to unmarried partners are available, subject to qualifying conditions 
• Members are not restricted by the earnings cap

Membership

• New entrants and most rejoiners in post on or after 1 April 2015 are eligible to join alpha, depending on their employment status
• Staff in post before 1 April 2015 may be able to join alpha but this is subject to several eligibility criteria
• See Section 4 - Your responsibilities when staff join for eligibility information

Pension age and taking benefits

• The alpha Normal Pension Age (NPA) is the later of either the members State Pension Age (SPA), or age 65. If a member’s SPA changes, this will have an effect on the alpha NPA
• Members can claim their benefits earlier, subject to an early payment (actuarial) reduction
• Members who do not retire at their NPA may continue to build up their pension in the normal way. They will receive an age addition (an extra amount of pension) for each year, or part year that they do not take their pension after their NPA
• Members do not have to take their pension by age 75

Switching from alpha to partnership and vice versa

• Switching can occur at any point, but only once during a 12 month period. This can be done by completing the switch form which must be sent to your HR department two months before the switch date.

nuvos is a Defined Benefit scheme (Career Average - CARE). Benefits are calculated using a proportion of pay earned in each scheme year of active service (a scheme year runs from 1 April to 31 March). Members can join nuvos or open a partnership pension account (see table 4), subject to their eligibility. nuvos was closed to new entrants from 1 April 2015.

Contributions

• Members contribute a percentage of their pensionable earnings
• Members receive tax relief on contributions subject to HMRC limits 
• You pay a monthly contribution (ASLC) to the Cabinet Office Civil Superannuation Vote for each member. It is the equivalent of the employer’s contribution to a funded scheme 
• Members may buy added pension or contribute to a money-purchase top-up arrangement. They can buy amounts of extra pension either through regular payments or by lump sum see Section 5 - Your responsibilities when staff are in service

Benefits

• Not based on final salary. The pension builds up at 2.3% of pensionable earnings each scheme year. The pension being built up will be adjusted in line with inflation at the end of every scheme year, and when it is in payment, as advised by HM Treasury.
• Members can exchange some of their pension for a tax-free lump sum on retirement. For each £1 of annual pension given up, the member will receive £12 of lump sum. There are restrictions, set by HM Revenue and Customs, on the total amount of the lump sum. 
• Ill-health retirement benefits. 
• Lump sum death benefits. 
• Family benefits for members’ dependants. 
• Payments to unmarried partners are available, subject to qualifying conditions. The booklet ‘Pensions for partners’ gives more information
• Not restricted by the earning cap

Membership

• After 30 July 2007 new entrants to the CSP arrangements were able to join nuvos, subject to eligibility
• nuvos was closed to new entrants from 1 April 2015 
• nuvos is still available for some rejoiners, subject to their eligibility
• New entrants and most rejoiners in post on or after 30 July 2007 were eligible to join nuvos, depending on their employment status. Staff in post before 30 July 2007 could not join nuvos.
• See Section 4 - Your responsibilities when staff join for eligibility

Pension age and taking benefits

• The current nuvos pension age is 65. However members can claim their benefits earlier, subject to an early payment (actuarial) reduction
• Members who do not retire at 65 may continue to build up their pension to age 75 in the normal way, subject to scheme limits. They will receive an age addition (an extra amount of pension) for each year or part year that they do not take their pension after pension age
• The member and you will continue to contribute towards their nuvos pension in the normal way up to the member’s 75th birthday. See Section 7 - Members reaching age 75 classic, classic plus, premium or nuvos

Switching from nuvos to partnership and vice versa

• Switching can occur at any point, but only once during a 12 month period. This can be done by completing the switch form which must be sent to your HR department 2 months before the switch date.

premium is a Defined Benefit scheme, with benefits based on final salary.

Contributions

• Members contribute a percentage of their pensionable earnings
• Members receive tax relief on contributions subject to HMRC limits
• You make a monthly contribution (ASLC) to the Cabinet Office Civil Superannuation Vote for each member. It is the equivalent of the employer’s contribution to a funded scheme
• Members may buy added pension or contribute to a money-purchase top-up arrangement. They can buy amounts of extra pension either through regular payments or by lump sum. See Section 5 - Your responsibilities when staff are in service

Membership

• Most staff in post on 30 September 2002 were eligible to transfer to premium from their existing scheme. 
• After 1 October 2002, new entrants to the CSP arrangements were able to join premium, subject to eligibility. 
• premium was closed to new entrants from 30 July 2007, although it is still available for some rejoiners (subject to their eligibility). See Section 4 - Your responsibilities when staff join for eligibility

Pension age

• The current premium pension age is 60. However, members can draw their benefits earlier, subject to an early payment (actuarial) reduction
• If members choose to work past age 60, they can build up pension benefits to the age of 75 subject to the maximum number of years’ service. See Section 3.5 Paying for Civil Service pensions for details.
• You and the member will continue to contribute towards their premium pension in the normal way up to the member’s 75^th birthday. See Section 7 - Members reaching age 75 (classic, classic plus, premium or nuvos)

Switching from premium to partnership and vice versa

Switching can occur at any point, but only once during a 12 month period. This can be done by completing the switch form which must be sent to your HR department two months before the switch date.

The partnership pension account is a Defined Contribution pension scheme. Employer and, if applicable, employee contributions are invested in a savings plan that is designed to help the member build up a pension pot which they can use to take an income and lump sums. When an employee applies for partnership, they invest their contributions with the provider appointed by the Scheme Manager (Cabinet Office). The current partnership provider is Legal & General.

Contributions

• The member decides how much they want to pay. They do not have to make any contributions
• Employer contributions are based on pay before tax. Employee contributions are taken from net pay but the pension provider claims back tax on employee’s contributions which are then paid into their partnership account. You pay contributions as a percentage of the member’s pensionable earnings. The percentage varies according to the member’s age
• You will match any contributions that the member makes, up to a maximum of 3% of pensionable earnings
• You also pay a mini ASLC (currently 0.5%) to pay for ill health and death benefits

Benefits

The benefits are not predictable in the way that alpha, nuvos, premium, classic and classic plus benefits are.

The amount of retirement income will depend on several things. They are:

• the amount of money that both you and the member have contributed; 
• the investment returns on the contributions; and 
• how they choose to claim their fund. They can select to buy an annuity, or take up to their full fund as a lump sum payment
• if they choose to buy an annuity, the annuity rate which is used to convert the fund into a monthly income when the member retires and the type of annuity they choose; and 
• if they choose to take a lump sum and the amount that they decide to take.
• The 2014 Budget introduced more flexibility into the ways a member can access their partnership benefits, including the option to take all of their fund as a cash lump sum, and lexible draw down options. Members may have to transfer their fund to another scheme/provider to use some of the options available
• Lump sum ill-health retirement benefits
• Lump sum death benefits

Membership

• Available to all members eligible for membership of the CSP arrangements. See Section 4 - Your responsibilities when staff join for eligibility

When benefits become payable

• Members do not have to retire in order to take their benefits. They can take their benefits from age 55

Switching from partnership to alpha and vice versa

• Members who are eligible to join either partnership or alpha may switch between the two pension arrangements irrespective of which one they choose to join first. Switching can occur at any point, but only once during a 12 month period. Members will need to complete the switch form and send it to their HR department two months before the switch date

Switching from partnership to nuvos and vice versa

• Members who are eligible to join either partnership or nuvos may switch between the two pension arrangements (irrespective of which one they choose to join first). Switching can occur at any point, but only once during a 12 month period. Members will need to complete the switch form and send it to their HR department two months before the switch date

Switching from partnership to premium and vice versa

• Members who are eligible to join either partnership or premium may switch between the two pension arrangements (irrespective of which one they choose to join first). Switching can occur at any point, but only once during a 12 month period. Members will need to complete the switch form and send it to their HR department two months before the switch date

Switching from partnership to classic or classic plus and vice versa

• From 1 April 2018, partnership was expanded to all active members of the CSP arrangements, including those who joined before 2002. Therefore, members of classic or classic plus may switch to partnership and vice versa. Switching can occur at any point, but only once during a 12 month period. Members will need to complete the switch form and send it to their HR department two months before the switch date.

classic is a Defined Benefit scheme, with benefits based on final salary.

Contributions

• Members contribute a percentage of pay towards a widow’s/widower’s/surviving civil partner’s pension, as well as   towards their own pension
• Members receive tax relief on contributions subject to HMRC limits
• You make a monthly contribution (ASLC) to the Cabinet Office Civil Superannuation Vote for each member. It is the equivalent of the employer’s contribution to a funded scheme
• Members may buy added pension or contribute to a money-purchase top-up arrangement. They can buy amounts of extra pension either through regular payments or by lump sum. See Section 5 - Your responsibilities when staff are in service

Benefits

• A retirement pension based on 1/80th of final pensionable earnings for each year of reckonable service and a lump sum equivalent to 3/80ths of final pensionable earnings for each year of reckonable service
• As above, members will receive an automatic lump sum on retirement. They can exchange some or all of their lump sum for additional pension for themselves, or for themselves and their   widow/widower/surviving civil partner. They can also choose to take a higher lump sum, giving up £1 of annual pension for every £12 of lump sum. There are restrictions, set by HM Revenue and Customs, on the total amount of the lump sum. Taking a higher lump sum, however, will impact on the ‘death after retirement’ guarantee
• The pension will be index linked annually
• Ill-health retirement benefits
• Lump sum death benefits
• Family benefits for members’ dependants

Membership

• Most staff in post before 1 October 2002 were eligible for membership. From 1 October 2002 classic became a closed scheme and no new members could join. Some rejoiners may be able to join classic subject to their eligibility
• See Section 4 - Your responsibilities when staff join for eligibility
• Members in post on 30 September 2002 could choose whether to stay in classic or transfer to classic plus or premium

Pension age

• The current classic pension age is 60. However, members can draw their benefits earlier, subject to an early payment (actuarial) reduction
• If members choose to work past age 60, they can build up pension benefits to the age of 75 subject to the maximum number of years’ service. See Section 3.5 - Paying for Civil Service pensions for details
• You and the member will continue to contribute towards their classic pension in the normal way up to the member’s 75th birthday. See Section 7 - Members reaching age 75 (classic, classic plus, premium or nuvos)

Switching from classic to partnership and vice versa

• Switching can occur at any point, but only once during a 12 month period. Members will need to complete the switch form and send it to their HR department two months before the switch date.

classic plus is a Defined Benefit scheme, with benefits based on final salary combining elements from the classic and premium schemes. Under this option, service up to 30 September 2002 is calculated like classic (subject to minor changes). Service from 1 October 2002 is calculated like premium.

Contributions

• Members contribute a percentage of their pensionable earnings. For service up to 30 September 2002, this contribution was specifically for a widow’s/widower’s/surviving civil partner’s pension. From 1 October 2002, the contribution is towards all scheme benefits. 
• Members receive tax relief on contributions subject to HMRC limits. 
• You make a monthly contribution (ASLC) to the Cabinet Office Civil Superannuation Vote for each member. 
• Members may buy added pension or contribute to a money-purchase top-up arrangement. They can buy amounts of extra pension either through regular payments or by lump sum. See Section 5 Your responsibilities when staff are in service.

Benefits

• A pension based on 1/60th of final pensionable earnings for each year of reckonable service from 1 October 2002. Plus a pension based on 1/80th of final pensionable earnings for service up to 30 September 2002. 
• Members will receive a lump sum of 3/80th of their final pensionable earnings for each year of reckonable service up to   30 September 2002. They can also choose to take a higher lump sum, giving up £1 of annual pension for every £12 of lump sum. There are restrictions, set by HM Revenue and Customs, on the total amount of the lump sum. Taking a higher lump sum will impact on the ‘death after retirement’ guarantee
• The pension will be index linked annually
• Ill-health retirement benefits
• Lump sum death benefits
• Family benefits for members’ dependants
• Payments to unmarried partners, subject to qualifying conditions, are available for service from 1 October 2002. The booklet ‘Pensions for partners’ gives more information

Membership

• Most civil servants in post on 30 September 2002 were eligible to join classic plus. From 1 October 2002 classic plus became a closed scheme and no new members could join

Pension age

• The current classic plus pension age is 60. However, members can draw their benefits earlier, subject to an early payment (actuarial) reduction
• If members choose to work past age 60, they can build up pension benefits to the age of 75 Subject to the maximum number of years’ service. See Section 3.5 - Paying for Civil Service pensions for details
• They and you will continue to contribute towards their classic plus pension in the normal way

Switching from  classic plus to partnership and vice versa

• Switching can occur at any point, but only once during a 12 month period. Members will need to complete the switch form and send it to their HR department two months before the switch date.