The Scottish Parliamentary Committee set up to consider legislative changes to MSPs pensions has today called for those affected by the pension scheme, others with an involvement or interest in pensions generally, and the general public to give their views on the way forward.

The Scottish Parliamentary Pension Scheme Committee was established by Parliament this year to “inquire into and report with recommendations for a Committee Bill on a replacement for the Scottish Parliamentary Pension Scheme rules.” The Committee is also considering the Grants to Members and Officeholders Order, including ill-health retirement payments.

Committee convener Alasdair Morgan said: “Our overriding aim is to provide a modern equality-proofed range of benefits both now and in the future.  The scheme must strike an equitable and proportionate balance between the level of benefits provided and the actual cost of their provision to Members and the public purse.

“Once we have received and considered the views on our consultation document, we intend to invite some witnesses to provide us with oral evidence. We hope to do this in February and March 2008.”

To assist in gathering views the committee gave preliminary consideration to the existing scheme rules, current legislation affecting pensions and changes made to the Westminster pension scheme.

This has resulted in a consultation document which highlights some of the areas requiring consideration by the committee. The consultation paper and a response form are published on the SPPS Committee's website.

A report to the Parliament is anticipated by the end of June 2008, and the report will have to be debated and approved by Parliament before a Committee Bill to replace the existing scheme rules can be developed.

Changes to the NHS Pension Scheme have also been announced separately today, which will be implemented from April 2008.

The new scheme is designed to be affordable and sustainable, as well as fairer for employers, scheme members and taxpayers. It will deliver savings of around £500m over the next 50 years.

The NHS Pension Scheme Review has been undertaken by the Scottish Pensions Review Group – a partnership between employers, trade unions and professional organisations and the Scottish Government. The group was tasked with developing a sustainable pension scheme fit for the NHS in 21st century Scotland.

Existing staff, and those joining the NHS Pension Scheme up to March 31, 2008, will keep their normal pension age of 60. Major changes include the introduction of a new scheme for new staff with a normal pension age of 65. The minimum age for drawing a reduced pension will also increase from 50 to 55 for new entrants.

Nicola Sturgeon, Cabinet Secretary for Health and Wellbeing, said: “The new pension scheme has been developed through a partnership approach to strike a balance between the security that NHS staff deserve in retirement, and affordability for the taxpayer. It is a scheme that will help attract and retain NHS staff.”

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