Councillor Member

Our Councillors page provides information for contributing members about current issues in the Local Government Pension Scheme (LGPS).

New LGPS

The main changes to the LGPS from 1 April 2009 were communicated to Councillors by way of a newsletter which can be viewed in the LGPS Library.

Local Government Employers (LGE) has produced a guide to the LGPS for eligible councillors (updated April 2010).

Career Average Pay

Councillors' benefits are calculated on career average pay, which is the pay for each year or part year ending 31 March, increased by the rise in the Retail Prices Index.

Example
A member has 1 year, 331 days membership as at 31 March 2009 and continues as a Councillor for another 24 years, retiring at age 65. For illustration, we've used a career average pay figure of £20,000.

Benefits based on 1 year, 331 days membership up to 31 March 2009:

Annual pension – 1/331 x 1/80 x £20,000 = £476.71
Plus an automatic tax free lump sum – 1/331 x 3/80 x £20,000 = £1,430.14

Benefits based on the 24 years membership from 1 April 2009:

Annual pension – 24/60 x £20,000 = £8,000

Annual pension - £476.71 plus £8,000 = £8,476.71
Lump sum - £1,430.14