Press release

Government launches consultation on unfunded pension public service discount rate

This news article was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government

The Government launches consultation on the discount rate used to set contribution rates in unfunded public service pension schemes.

The Government has today launched a public consultation on the discount rate used to set contribution rates in unfunded public service pension schemes. This is in line with a commitment made in the Spending Review, and follows a recommendation of the Independent Public Service Pensions Commission’s interim report.

The consultation will close on 03 March 2011.

More information on the discount rate and the consultation document can be found on the HM Treasury website: http://www.hm-treasury.gov.uk/consult_unfunded_pensions.htm

Notes for Editors

  1. Initial work carried out by the Independent Public Service Pensions Commission suggests that the current discount rate is at the high end of what is appropriate. The Commission asked the Government to review this discount rate, so that the findings can inform the final report. More information on the Independent Commission, including the interim report, can be found on the HM Treasury website: http://www.hm-treasury.gov.uk/indreview_johnhutton_pensions.htm

Non-media enquiries should be addressed to the Treasury Correspondence and Enquiry Unit on 020 7270 4558 or by e-mail to public.enquiries@hm-treasury.gov.uk

Media enquiries should be addressed to the Treasury Press Office on 020 7270 5238.