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IHPN welcomes funding commitment for NHS pensions

Date of publication: 7th Mar 2019

Categories: Latest news Media

Commenting on the recent government response to the consultation on changes to the NHS pension scheme, IHPN Chief Executive David Hare said:

“We welcome the news that all relevant employers with staff on the NHS pension scheme will receive national funding to cover the increase in employer contributions, including independent, social enterprise and voluntary providers. IHPN members with staff in the NHS pension scheme will be delighted that they now have certainty about this important issue.

“This is particularly welcome in the context of the 18/19 NHS pay deal, which saw NHS providers directly funded for pay increases while employers with NHS staff working in the independent, social enterprise and voluntary sectors were overlooked. We are pleased that this has been largely resolved for 19/20 onwards.

“We hope this reflects a renewed recognition by government that the level playing field in provision means that all providers should be treated equally when there are national changes to NHS terms and conditions.

“We remain concerned about the position for healthcare contracts funded by Local Authorities where there remains a portion of the employer contribution increase unfunded by central government and we are working with members to ensure that this is resolved as swiftly as possible.”

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Notes to editors:

  1. The government recently consulted on changes to the NHS pension scheme, including a substantial increase in employer contributions from 1 April 2019 from 14% to 20% of salary. The government has confirmed that this increase will be funded centrally for organisations providing services under the NHS England mandate. This means that all providers – whether NHS, independent, voluntary, or social enterprise – with staff in the NHS pension scheme will be funded for the increase.