McCloud implementation

In 2015, the Government introduced changes to public sector pensions which meant that most workers were moved into pension schemes providing benefits on a career average basis. This was challenged and, in December 2018, the Court of Appeal ruled that the ‘transitional protection’ offered to some members of the judges’ and firefighters’ schemes gave rise to unlawful discrimination. In July 2020, the Treasury launched a consultation to seek views on proposed method of implementing changes to remedy age discrimination. While we’re still waiting for legislative changes, McCloud rectification work will be complex and pension schemes need expert advice in dealing with this issue.

Regardless of whether your scheme’s administration is run in-house or outsourced via a third-party administrator (TPA), we can provide the essential expert advice on remediation to navigate the complexities of this ruling. In addition to supporting you with  undertaking the required remediation activities, we’ll help you  understand the cost for your scheme in terms of the impact on liabilities, implementation and ongoing administration. 

Our McCloud team is part of our pensions administration team – one of the largest in the UK -  and brings together actuaries, administrators, data analysts and communications consultants. Our experts are  highly experienced in managing large rectification projects, as well as being one of the few administrators able to run some of the largest and most complex public sector pension arrangements.