Casual Workers’ pensions information
Update 1 December 2024: the deadline by which we asked you to inform us whether you wish to opt-in historically to the Local Government Pension Scheme of 30 November 2024 has passed, and the option to opt-in is now closed. This portal will remain active to provide those who have opted-in with additional information while we process your indications of interest.
Update 30 November: As previously advised, we have liaised with His Majesty’s Revenue & Customs regarding the treatment of tax relief. HMRC have issued guidance that “Active members of a pension scheme may be entitled to relief under Section 188 Finance Act 2004, but only in the [tax] year the contribution is paid - the relief can’t be spread over earlier years.”
The treatment of the tax position is ultimately at the discretion of HMRC. We have instructed specialist tax advisors to investigate this position to understand if there is any scope to challenge the HMRC position. The outcome of this process may impact on how backdated pension payments are treated for tax purposes. We are therefore currently deferring contacting individuals regarding next steps until the outcome is known. We will provide regular updates on the Casual Workers Portal.
Welcome to the Casual Workers Portal. This portal is intended to bring together all the information we are able to provide you on the Pensions Remediation process in one place. The intention is to give you as much information as we can to help you understand your pension options, and to signpost you to other sources of assistance.
Our aim has been to support you to make an informed decision on whether you want to explore the Pensions Remediation option available to you further and to continue to support you as we process the applications. Please note that while we have retained much of the previously published detail on this page, the content has been updated to reflect the closure of the option to opt-in and other developments since initial publication.
What is the Remediation Process?
The Remediation Process is the process that was put in place to provide those Casual Workers that have been adversely affected by the pensions information issues (See FAQ) with the option to ‘opt-in’ to the Local Government Pension Scheme from the date they started their engagement with the City of London Corporation (as far back as May 2013). The process is based on the three key principles outlined in the letter to you: Equity, Fairness and Reasonableness.
The FAQ outlines the Remediation Process in a lot more detail
We will update this page with more information in response to the questions asked via the dedicated email address.
Next Steps
Where we have received your confirmation of interest in opting-in, we will undertake a detailed review of your pensionable pay over the affected period. This will calculate the exact personal pension contribution you will need to make using the opt-in date you provided. We will then advise you of the backdated payment required and where this should be paid. Upon receipt of payment, we will make both the employers and employees contribution payments to the LGPS, and confirm that this payment has been made. You will then need to check your exact pension status with the LGPS.
Next Steps Timeline
We originally gave you 3 months from the date of the letter sent to you to inform your decision on whether you wish to opt in to the pension scheme historically with this subsequently being extended to 6 months. With this extended period coming to an end on 30 November 2024, we believe that we have provided enough time for you to read the information, seek and take advice and make your decision.
With the initial notification of interest process complete, we can now focus on processing the details required for individuals. However, we are still in discussion with HMRC regarding the tax position related to backdated payments, the outcome of which is likely to have a financial impact on those making use of the scheme. We will begin contacting individuals regarding next steps once we have exhausted our representations with HMRC and are able to give a clear position on this issue. This delay will in no way affect the eligibility or pension benefits of those who have chosen to opt-in.
An Important Financial Decision
Taking decisions on your pension options is an important financial decision for you and your future. However, please be aware that managers and officers of the City Corporation are not qualified to provide you with financial advice.
To help support you to make your decision, please find below a range of resources to help you be better informed.
1. Pension Benefits Calculator
This can be used to calculate the estimated total pension you would accrue from joining from an historic date. In your letter inviting you to the Casual Workers Portal, you will have received a summary of the total pay received for each year worked back to 2013/14. If you input the information supplied into the calculator, it will calculate the total pension you would accrue over that period.
2. Employee Assistance Programme (EAP)
The EAP is provided by an organisation called Health Assured. The service is:
- Independent - an impartial source of support and does not represent any organisation, including the City Corporation.
- Confidential - no-one at the City Corporation will know that you have called, unless you chose to disclose this.
- Free of charge to you - it is paid for by the City Corporation.
- Available 24 / 7 / 365 - At any time of the day or night you will be able to speak with one of Health Assured's professionals.
- Unlimited support - you can use it as often as you need to.
Health Assured offer:
- a telephone information service offering support and information regarding legal, financial and practical issues.
- unlimited access to short term counselling support over the telephone.
- a website with dedicated online resource designed to support health and wellbeing. The portal provides confidential access to wellbeing fact sheets, videos, self-help. programmes, interactive tools and educational resources to help with life’s challenges.
To access the service:
- Online: Simply go to the Employee Assistance Programme website [Organisation Code: MHA085271] and follow the instructions.
- Free phone: 0800 028 0199
3. Local Government Pension Scheme Website
The LGPS website provides a dedicated resource all about the scheme, the governance, the essentials, the wider benefits, as well as a range of support information, tools and calculators to help inform your decision.