Thread by @goldstone_tony

1/ BREAKING: Government publish response to partial retirement & CPI disconnect consultation

gov.uk/government/con…

2/ Its *EXTREMELY* dissapointing they have ignored feedback on #FixNegativePIAs

It's completely untrue to say the member "has not had a reduction in pension benefits"

If pensionable pay falls *relative* to inflation, that exactly what you have had #pensiontheft

& they know it

3/ Its incredibly misleading to suggest if pay rises, so does pension "as long as there had been increase in pensionable pay".

Everybody knows (incl. government officials I've met) that the intention of the Finance Act is to measure growth *above inflation*, so 👇REMAINS untrue

4/ And if pay growth stagnates below inflation, then pension goes DOWN in real terms, which should be fairly recognised if you are intending to measure REAL growth above inflation (as per S234 of the Finance Act).

Important to point out this isnt just my view, or a BMA view

5/ Even @NHSEmployers have directly lobbied @hmtreasury to fix this (left) as have traditionally conservative think tank @Policy_Exchange (right), and many others

They *really* MUST *fix this (for 23/24) rather than gaslight members its not a problem, when it really, really is.

6/ I am pleased however that #CPIdisconnect has been addressed (moving the revaluation date). Its not the ideal solution (#FixTheFinanceAct could have fixed this properly alongside #FixNegativePIAs), but credit where credit is due, its better than nothing

7/ Similarly on partial retirement, this is something @BMA_Pensions have long lobbied for, is welcomed, but the delay to October 23 is a *very* poor decision (as is 🔽10% pay), & pensionable re-employment may be a poor substitute for some members unless guidance urgently in place

8/ to standardise this offering.

But for some, tragically for the NHS, with high inflation continuing, may do the sums and decide for them it #doesntpaytostay and will leave the service

Adding #LateRetirementFactors would also have been welcome.

9/ But the key ommission by @DHSCgovuk @hmtreasury has been to offer *anything* for those squeezed middle, not old enough to eye retirement, and being pounded unfairly by AA and a rapidly falling LTA. These are both incredibly unfair in a scheme where, unlike *ANY* other public

10/ sector scheme, higher rate tax relief is removed by *very* steep contribution tiering (even with the changes planned).

That is both unfair, and will continue to cause many @BMA_Consultants @BMA_GP and other higher earners to reduce sessions, avoid promotion and retire early

11/ @Jeremy_Hunt was quite right to call this a "national scandal" needing fixing "immediately".

Lets be clear, ☝️doesnt do that (nor announced by @theresecoffey).

RT if you need Mr. Hunt / Barclay to fix these issues on 15th March budget

#FixNegativePIAs
#TaxUnregistered