In January 2019, the Government announced a pause to the cost control element of the valuations of public service pension schemes, due to the uncertainty about benefit entitlements arising from the Court of Appeal’s judgment in McCloud in December 2018.
The Government has committed to addressing the discrimination identified in McCloud in all public service pension schemes, while ensuring all members can keep their accrued benefits. Schemes are currently discussing high-level proposals to achieve this with employer and member representatives, to inform a full public consultation. In addition, Employment Tribunals are considering the remedy for claimants in the various cases. While these processes are underway, the cost control mechanism remains paused as the value of pension schemes to members cannot be assessed with certainty.