LGPS pension scheme and voluntary redundancy

hueknight

Hi Has anyone taken voluntary redundancy below age 55 in a LGPS, I have been led to believe you cannot then take the LGPS pension  until aged 60. 

Silvertabby

That used to be the case, but the rules changed some time ago.  You may now voluntarily access your deferred LGPS benefits from age 55 (rising to 57 in due course) - but be aware of the actuarial reductions for early payment.  The fact that you were originally made redundant doesn't mean that your deferred benefits would then be paid without any reductions.

Briefly, any R85 protections (in respect of pre 2008 accruals only) are still linked to the old rules NRA 0f 60, so even if you met R85 in full, taking your pre 2008 benefits at 55 would mean a 5 year early payment reduction.

Benefits accrued between 2008 and 2014 would be fully reduced for early payment before age 65.

Benefits accrued between 2014 and date of leaving would be fully reduced for early payment before SPA.