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The Local Government Pension Scheme (LGPS) is a statutory, funded, career average revalued earnings (CARE) pension scheme governed by regulations.

These include:


The LGPS is a 'funded' scheme, meaning that the pension contributions received are invested to provide each fund with assets, from which it can pay benefits. Both employees and employers contribute to the LGPS. You can find out further details in the DPF Funding Strategy Statement.

Employee contribution rates

The rate members pay is based on actual pensionable pay, including non-contractual overtime. Members can also elect to join the 50/50 section where they will only pay half the normal contribution rate (but employers must continue to pay the full employer contribution rate). Contribution rate bands are set by the Government and are revised each April.

Employer contribution rates

The rate that an employer pays is set by the fund’s actuary, Hymans Robertson and varies from employer to employer. The rates are published as part of the fund’s valuation report.

Members benefits

Employees who join the fund build up a pension pot which is revalued each year in line with Consumer Price Index (CPI). If a member has LGPS membership before 1 April 2014 they will have accrued benefits based on membership and final pay in accordance with the previous final salary pension scheme.

Employing authorities

These are bodies whose employees can join the LGPS. Some, such as county councils, district councils and academies are called 'scheme employers', who automatically take part in the scheme. Administering authorities can also admit bodies that are not scheme employers but that satisfy certain other conditions, to their funds. These are known as 'admission bodies' and they are treated in line with LGPS regulations.