Date posted: 25/02/2021

Audience

  • HR managers
  • Payroll managers
  • Pension leads
  • Communication managers/leads/business partners
  • Internal communication managers/business partners

Actions

  • To work with your payroll provider to ensure that changes to employee salary thresholds can be applied from 1 April 2021.
  • To consider communicating the table of new salary thresholds to your employees.

Timing

  • You should commence work immediately with your payroll provider about preparations to implement the new salary thresholds.

Detail 

Changes to salary thresholds:

  1. Member contribution rates and salary thresholds from 1 April 2021 are set out in the table below. The figures in brackets show the 2020/21 salary thresholds, and member contribution rates are unchanged.

Table 1 - Employee pension contribution rates in 2020/21 and 2021/22

Annualised rate of pensionable earnings Employee contribution rate
From To
£0 £23,100 (£22,600) 4.60%
£23,101 (£22,601) £56,000 (£54,900) 5.45%
£56,001 (£54,901) £150,000 7.35%
£150,001 - 8.05%
  1. Salary bands and contribution rates for employer contributions in 2021/22 will remain unchanged from their 2020/21 values.

Contacts

For more information, contact Charlotte Simonds from the Civil Service Pensions team charlotte.simonds@cabinetoffice.gov.uk

If you have a question about the distribution of EPNs, or would like to receive them in a different format, please contact EPN@MyCSP.co.uk.

You can find electronic copies of the Employer Pension Guide, all current EPNs and forms in the Employer section of the Civil Service Pensions website.

This notice is for employers and should not be issued to scheme members.

Members can find information about their pension by visiting the member's section.

Published:
25 February 2021
Last updated:
24 April 2023