McCloud Remedy

McCloud Remedy

McCloud Remedy

In 2015 the LGPS changed from a final salary scheme to a career average revalued earnings (CARE) scheme, with the other public service pension schemes following a year later. At the time a promise was made that no member within 10 years of retirement would be worse off as a result of the changes.  To ensure this commitment was met protections were put in place for certain members, based upon their age on 1 April 2012. 

In 2018 the court of appeal found that younger members had been discriminated against because the protections did not apply to them. The Government has been taking steps to address the findings of the McCloud case in public service pension schemes and working to extend protection to those the courts found had been treated unlawfully.

On 30 August 2023, the Government issued The Local Government Pension Scheme (Amendment) (No. 3) Regulations 2023 which take effect from 1 October 2023.

These regulations implemented the McCloud remedy meaning that those individuals originally discriminated against will receive the same protection for their benefits that older members previously enjoyed.

You can find out more about the McCloud remedy by reading the member factsheet and also by visiting://www.scotlgpsmember.org/mccloud-remedy

What happens next?

You don’t need to do anything.  We will contact you if you are affected.

Most members are unlikely to see an increase to their pension, and where an increase is applied, it is likely to be small. This is because most members will build up a higher pension in the career average pension scheme than they would have under the final salary scheme.

If you are protected and your LGPS pension is already being paid to you, we will work out if your pension will increase. We will do this as soon as we can, but reviewing all pensions in payment will take some time.

If you are still working, or you have left but you are not receiving your pension, when you come to retire or take your pension, we will check if your pension is due an increase.