GAD completes consultation on valuation directions for public service pensions

Directions will ensure 2020 valuations of public service schemes can be completed

Jonathan Stapleton
clock • 1 min read
Government actuary Martin Clarke
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Government actuary Martin Clarke

The Government Actuary's Department (GAD) has completed a consultation on public service pensions directions, which set out how 2020 valuations should be carried out.

The consultation on the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2023 was completed alongside HM Treasury.

The 2020 valuations will inform the future contribution rates to be paid into the schemes by employers from 1 April 2024. It will also be the first time that the reformed cost control mechanism is tested.

The new directions will also ensure the 2020 valuations of the public service pension schemes can be completed using updated assumptions.

Consultation on directions

There is a statutory duty for the government actuary to be consulted on the directions. This consultation was completed in August 2023.

In his response to HM Treasury, government actuary Martin Clarke said the draft 2023 directions would "deliver results for the 2020 valuations which largely meet the stated objectives, with some better met than others, and that they are, in the round, technically complete and coherent".

Now the directions have been published, GAD will begin finalising valuation results and reports for the public service pension schemes over the next few months.

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