An interim policy on pensions is to be put in place by the Scottish Government to support the retention of experienced NHS Scotland staff.

Pensions are a power reserved to the UK Government.

The Scottish Government state:

The interim policy will operate while we await the outcome of the current UK Government consultation into further pension flexibilities and the outcome of HM Treasury’s review of the impact of the Annual Allowance taper on public sector pension schemes. 

The option to be made available is to allow eligible NHS Scotland staff to  get their employer pension contributions paid to them as part of their basic pay. Currently they face additional tax liabilities.

Announcing the interim policy, Jeane Freeman, Health Secretary in the Scottish Government said:

“Our hard-working staff should not face a financial penalty for working to provide vital services for patients, and I have repeatedly called for action from the UK Government on this as this matter is reserved.

“Our staff are valued and they should be supported and able to work for our NHS and its patients for as long as they wish. This is just one of the steps we are taking to ensure we retain and build a sustainable medical workforce.

“This will make a significant contribution to supporting frontline services and medical specialities who are working round the clock to deliver the highest possible quality of care.

“This new option will also help to support recruitment and retention of staff, encouraging health professionals to build their careers here in Scotland’s NHS.”

The policy will provide eligible staff the option to withdraw from the NHS Pension Scheme and receive their employer contributions back as a basic pay enhancement.

It is hoped that this option will help to maintain experienced staff in NHS Scotland.