Public Sector & Occupational Pensions UK Police Pension Guide UK — How Police Pensions Work Complete guide to Police Pension Schemes UK. 2015 CARE scheme, older schemes, contribution rates, ill-health retirement, and commutation options.
By James Whitfield
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23 March 2026
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Last reviewed: 16 September 2026
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4 min read Police officers have excellent pension provisions. Here’s how to understand your scheme.
For the wider cluster covering workplace pensions, scheme types and other public-sector routes, use the main Workplace Pensions hub .
Police Pension Schemes Which Scheme Are You In? Scheme Service Period PPS 1987 Before 2006 NPPS 2006 2006-2015 CARE 2015 April 2015+
If You Were Serving Before 2015 Situation Position Pre-2012 service May have protected benefits McCloud remedy Recent court case affects Check your Annual benefit statement
2015 CARE Scheme Key Features Feature Details Type Career Average Revalued Earnings Accrual rate 1/55.3 (1.81%) per year Normal pension age 60 Employer contribution 35.3% Revaluation CPI
Contribution Rates (2026/27) Pensionable Pay Your Contribution Up to £37,035 12.88% £37,035–£79,558 13.88% Over £79,558 14.22%
Tiers are reviewed against your actual pensionable earnings every 1 April.
After Tax Relief Your Rate Effective Cost (20%) Effective Cost (40%) 13.88% ~11.1% ~8.3%
Example Pension (2015 Scheme) Career Pension 30 years at average £45,000 30/55.3 × £45,000 = ~£24,400/year Plus revaluation Higher at retirement
Older Schemes PPS 1987 Feature Details Type Final salary Accrual 1/60th per year Max 40/60ths (2/3rds) NPA 55 (30 years)
30-Year Example Pension Final salary £50,000 30/60 × £50,000 = £25,000/year
NPPS 2006 Feature Details Type Final salary Accrual 1/70th per year NPA 55 (35 years)
Death Benefits If You Die in Service Benefit 2015 Scheme Lump sum 3× pensionable pay Partner pension 37.5% of pension you’d have got Children’s pension Also provided
After Retirement Benefit Details Partner pension 37.5% of your pension Guaranteed period 10 years
Important Keep updated Nominate partner/beneficiaries Review after Life changes
Ill-Health Retirement Three Tiers Tier Criteria Benefit Upper tier Can’t do any work Enhanced pension Lower tier Can do other work Normal pension Injury Award Duty-related Additional compensation
Qualifying Assessment Process Medical evidence Required SMP review Selected Medical Practitioner Force decision Based on evidence
Commutation (Tax-Free Lump Sum) Options At Retirement Choice Details Take pension only Full annual income Commute some Swap pension for lump sum Maximum Usually 25% of value
Commutation Rate Typical Rate £12 lump sum For £1/year pension given up Varies by Age and scheme
Example Retiring Officer Annual pension £24,000 Give up £4,000 pension Receive ~£48,000 lump sum Ongoing pension £20,000/year
Should You Commute? Consider If Need lump sum Specific use (mortgage etc) Tax-free Is attractive Guaranteed income May be more valuable long-term
Retirement Options Normal Retirement 2015 Scheme Age 60 No reduction Full pension Lump sum option Available
Early Retirement Before NPA Consequence Actuarial reduction Lower pension Percentage varies By years early Consider carefully Long-term impact
Deferred Retirement Work Beyond NPA Consequence Pension increases Late retirement factor Can continue Accruing benefits
Abatement Rules If You Return to Police Work Situation Rule Re-employed in police Pension may be reduced Abatement Limits total income Check Specific rules
Secondary Employment While Serving Requirement Detail Business interests Must declare Approval May need force permission Doesn’t affect Pension accrual
Divorce and Pensions Pension Sharing If Divorcing Consider Pension sharing order May be required Valuation CETV calculated Significant Police pensions often large Legal advice Essential
Tax Considerations Annual Allowance Issue Detail High pension growth May exceed £60,000 Senior officers More likely to breach Tax charge On excess Carry forward 3 years available
Check Each Year If Annual AA Charge Options Pay via Scheme Pays Reduces pension Pay personally May not be possible Take advice Complex area
Federation Benefits Police Federation Benefit Details Representation Employment matters Insurance discounts Often available Legal support For members Group schemes Various
Summary Why Police Pension Is Excellent Feature Value Employer contribution 35.3% Retirement age 60 (vs 67+) Guaranteed income For life Inflation-linked CPI Ill-health cover Three tiers
Don’t Opt Out You’d Lose Value 35.3% employer contribution Huge Early retirement Age 60 Guaranteed pension Security Death benefits Family protection
Checklist Action Done? Know which scheme(s) ☐ Check benefit statement ☐ Understand contribution rate ☐ Nomination form updated ☐ Understand commutation ☐ Check annual allowance position ☐
Resource For Force pensions administrator Your specific queries Police Pension website policepensionschemes.org.uk Police Federation policeconduct.gov.uk Pension Wise Free guidance
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