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A
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Abatement
|
A reduction or stopping of pension payments on re-employment within
the scheme. Scheme rules require that a member's new salary and
pension, when added together, may not normally be more than their
pensionable earnings when they retired.
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Accelerated accrual
|
A higher rate of pension build-up (ie, better than the scheme
standard rate) used as either a recruitment or retention measure.
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Accounting Officer
|
Usually the Permanent Secretary of each employing department.
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Added years
|
Active members of classic, classic
plus and premium, and their employers, can
boost pension benefits by buying added years of service, either with
a lump sum on joining, or by periodic contributions during service.
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AER
Approved Early Retirement
|
Employers can ask for volunteers for early retirement if they have
surplus staff. Volunteers must be aged 50 or over with at least 5
years qualifying service. Staff aged 55 or over with at least 25
years' qualifying service may apply under this category with
their employer's agreement.
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Aggregation
This only applies to classic, classic
plus and premium |
If members leave the scheme and then come back, they can choose to
join their two periods of service together.
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Analagous schemes
|
Schemes that base their rules on the Civil Service rules
and amend their equivalent rules only if and when they decide to
follow changes to the Civil Service rules.
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Annuity
|
This only applies to partnership. An annuity is a
financial product that provides an income of life in exchange for a
lump sum.
|
APAC
Authorised Pensions Administration Centre
|
The body that is responsible for day-to-day administration of the
scheme (also known as the pensions administrator).
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ARR
Actuarially Reduced Retirement
|
Members aged 50 or over with at least two years' qualifying
service can choose to retire early. Benefits are paid immediately but
are reduced because they will be paid for longer.
|
ASLC
Accruing Superannuation Liability Charge
|
The contribution that employers make to provide pension cover for the
members they employ. It includes a small element to cover management
costs incurred by the Cabinet Office.
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|
AVC Additional Voluntary Contributions
|
A money purchase arrangement to provide an additional pension, where
contributions are paid to a pension provider for investment in a fund
or selection of funds. The accumulated investment fund is used to buy
an annuity - a pension for life. Members can choose to take up to 25%
of their fund as a tax free lump sum subject to the LTA.
[
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B
|
|
Benchmarking
|
Comparing a service or activity with similar services or activities
in other organisations in order to learn how improvements can be made
to processes, standards, outputs and outcomes.
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Beneficiary
|
A beneficiary is the person or people who receive your pension
benefits after you die.
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By-analogy schemes
|
These are schemes that use the same rules as the Civil Service
scheme, but which may have exceptions and/or changes.
As these schemes use the Civil Service rules, any changes made to
the Civil Service rules will also affect them.
[
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C
|
|
Cabinet Office
|
CSPD unless otherwise stated. CSPD within Cabinet Office manages the
Civil Service Pension arrangements.
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|
Capita Hartshead
|
The paying authority for Civil Service pensions. They pay pensions
under contract to the Cabinet Office.
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|
Capita Health Services
|
The medical advisers to the CSP arrangements. They are the sole
provider of medical advice on all matters concerning CSP
arrangements.
|
CEP
Contribution Equivalent Premium
|
This buys members back into the State Second Pension if they leave
with less than two years' service.
|
CER
Compulsory Early Retirement
|
Compensation arrangement used by employers for those aged 50 or over
with at least 5 years qualifying service who are made redundant.
|
CES
Compulsory Early Severance
|
For those aged under 50 or with less than 5 years' qualifying
service who must leave early. It covers those who are made redundant
(other than through inefficiency or ill health) or who apply for
redundancy when employers call for volunteers.
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Civil partnership
|
A relationship between two people of the same sex that has been
registered under the Civil Partnership Act 2004.
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classic
|
A defined benefit occupational pension scheme based on final salary.
It was open to civil servants from 1972 to 2002 and is now closed to
new entrants. The name classic came into effect in October 2002.
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classic plus
|
A defined benefit occupational pension scheme based on final salary.
It was available from 1 October 2002 for staff in post on 30
September 2002.
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Commutation
|
To give up some pension in exchange for a tax-free lump sum.
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Contracting out
|
To leave the State Second Pension.
|
CS Vote
Civil Superannuation Vote
|
The account from which pension benefit payments are made and to which
any monies due to CSPD are paid. Employers' and members'
contributions are paid into this account.
|
CSAVCS
Civil Service Additional Voluntary Contribution Scheme
|
A money purchase arrangement for Civil Service pension scheme members
to provide an additional pension, where contributions are paid to one
of a panel of approved pension providers for investment in a fund or
selection of funds. The accumulated investment fund is used to buy an
annuity - a pension for life. Members can choose to take up to 25% of
their fund as a tax free lump sum subject to the LTA.
|
CSCS
Civil Service Compensation Scheme
|
The scheme providing compensation for civil servants who retire early
because of compulsory early retirement or severance; flexible early
retirement or severance; or approved early retirement.
|
CSIBS
Civil Service Injury Benefit Scheme
|
The scheme providing compensation for a qualifying injury during the
course of official duties which then impairs earnings' capacity.
|
|
CSP arrangements
|
The Civil Service Pension arrangements include the PCSPS, CSCS and
CSAVCS and any other scheme made by the Minister under Section 1 of
the Superannuation Act 1972 but excluding the Civil Service
Supplementary (Earnings Cap) Scheme.
|
CSPD
Civil Service Pensions Division
|
The division of the Cabinet Office that manages the CSP arrangements.
[
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|
D
|
|
Delegated employer
|
An employer holding a Delegation Instrument from the Minister for the
Civil Service under the Superannuation Act 1972, for pensions
administration for its staff.
|
|
Delegation Instrument
|
A document from the Minister for the Civil Service that gives formal
authority to an employing department to administer the CSP
arrangements for an identified group of staff. It lists the
requirements placed upon the employing department for the 'proper
and efficient' administration of the CSP arrangements.
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Dependant
|
Your husband, wife, civil partner, child of your own or one who
relies on you financially.
|
|
Dependent child
|
Any child who is dependent on you and who is under 17 or receiving
full-time education or training. Dependency means that you are
providing financial support to the child.
[
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|
E
|
|
Earnings cap
|
The maximum level of pay we will use when working out pension
benefits and contributions. It applies to most members who joined the
CSP arrangements on or after 1 June 1989.
|
|
Eligible child
|
Your natural or adopted child and any other child who is
receiving financial support at the time of your death. A pension will
only be paid if they are under 17 or in full-time education or
training. Any child pension will stop when the child ceases
full-time education or training, or their 23rd birthday, whichever
comes first.
|
|
Enhancement
|
An increase to reckonable service for benefit calculations following
early retirement.
|
|
EPG
|
Employers' Pension Guide
|
EPN
Employer Pension Notice
|
Notices that communicate additional information to employers about
the CSP arrangements and update the EPG.
[
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|
F
|
FER
Flexible Early Retirement
|
Allows employers to invite those aged 50 or over with at least 5
years qualifying service to retire early. There is no element of
compulsion.
|
FES
Flexible Early Severance
|
Allows employers to invite those aged under 50 to leave early because
of limited efficiency, where staff have to be moved and their
background and experience is extremely limited or specialised, or
restructuring. There is no element of compulsion.
|
Final pensionable earnings
This only applies to classic, classic
plus and premium |
The pensionable earnings used to calculate your benefits when you
leave.
[
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|
G
|
|
GAD
|
Government Actuary's Department
|
|
GIAM
|
Government Internal Audit Manual
|
GMP
Guaranteed Minimum Pension
|
A pension that is at least the same level as the pension you would
have had if you had stayed in the State Earnings-Related Pension
(SERPS) for service before 1997.
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|
H
|
HBW
Hewitt Bacon and Woodrow
|
The scheme actuary.
|
|
HMRC
|
Her Majesty's Revenue & Customs
|
HR
Human Resources
|
Personnel units
|
HRDG
Human Resources Directors' Group
|
The forum for Human Resource Directors.
|
|
I
|
|
IDR
|
Internal Dispute Resolution.
|
|
IFA
|
Independent Financial Adviser.
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|
J
|
JCS
Joint Committee on Superannuation
|
The forum in which CSPD discuss pension matters with Civil Service
Unions.
|
|
L
|
LTA
Lifetime Allowance
|
A limit on the total value of all pension benefits (except the state
pension) that can be taken without paying additional tax. The value
of benefits is assessed at the time that the pension is taken. It
does not limit the total amount of pension benefits that an
individual can be paid in their lifetime.
[
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|
M
|
|
Members
|
There are three categories:
-
active; members still in employment and paying contributions.
-
deferred; members who have left the Civil Service but have left
their accrued benefits in the scheme of which they were a member.
-
pensioner; members who have retired and are drawing (or their
dependants are drawing) their benefits.
For the purposes of this guide, member includes those who have a
partnership pension account.
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|
|
N
|
|
NAO
|
National Audit Office
|
NICO
National Insurance Contribution Office
|
Part of HMRC.
|
|
Non-reckonable absences
|
Days that do not reckon for service for pension benefits. These are
mainly where the member was away from work without permission such as
strike days.
|
|
Notional service enhancement
|
The extra service which counts towards your compensation benefits on
compulsory or flexible early retirement, together with the service
you have actually worked.
|
|
nuvos
|
A defined benefit occupational pension scheme based on salary in each
tyear of service.
[
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|
O
|
OPRA
Occupational Pensions Regulatory Authority
|
The UK regulator of pension arrangements offered by employers.
[
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|
P
|
|
partnership pension account
|
A defined contribution (money purchase) stakeholder pension available
only to entrants joining on or after 1 October 2002.
|
|
Paying authority
|
Pays pensions payroll, banking and associated services under contract
to the Cabinet Office. It pays pensions and other benefits authorised
by APACs in accordance with the CSP arrangements and CSCS rules.
|
PCSPS
Principal Civil Service Pension Scheme
|
The Principal Civil Service Pension Scheme 1974, as amended. The
legal basis for the CSP arrangements, laid before Parliament under
Section 2(11) of the Superannuation Act 1972.
|
|
PenServer
|
The pensions administration software for the CSP arrangements.
|
|
Pension age
|
The earliest age at which you can choose to leave and receive
immediate payment of your pension without it being reduced.
|
|
Pensionable earnings
|
All earnings that could count towards your pension. They can include
non-cash items, for example, uniforms or accommodation.
|
|
Pensions administrator
|
The pension administrator holds your pension records and administers
your pension on your employer’s behalf, including working out and
arranging pension payments.
|
|
Pensions increase
|
The amount by which pensions increase each year.
|
|
Personal representative
|
Someone who has the power to dispose of a deceased scheme
person’s estate.
|
|
premium
|
A defined benefit occupational pension scheme based on final
salary.
|
|
Preserved pension
|
Pension benefits from an earlier period of service in the CSP
arrangements that will come into payment at a later date usually at
pension age.
|
PSTC
Public Sector Transfer Club
|
A group of defined benefit occupational pension schemes, mainly
within the public sector. The Club assists easier movement of staff
between its members by providing broadly equivalent benefits when
they transfer.
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|
Q
|
|
Qualifying recognised overseas’ pension scheme
|
A scheme to which pension transfers can legitimately be made under
HMRC rules.
|
|
Qualifying service
|
The service that determines whether you are eligible for pension
benefits.
[
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|
R
|
|
Reckonable service
|
The service that counts towards a pension. Part-time service counts
on the basis of the hours worked.
|
|
Registered pension scheme
|
A scheme registered under Chapter 2 of Part 4 of the Finance Act
2004.
|
RPI
Retail Price Index
|
The official index of increases in retail prices.
|
|
Retained benefits
|
Retirement benefits that you may have in a previous occupational
scheme or personal pension.
|
|
Retirement age
|
The age set by your employer at which you have to retire. It is not
necessarily the same as your pension age.
[
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|
S
|
|
Scope
|
The total amount you can pay to increase your pension benefits after
taking account of contributions you are already paying and benefits
you will have at retirement.
|
|
Set-off
|
The Crown may deduct a debt due from a person from a payment due to
that person (e. g. a pension or lump-sum).
|
|
SPPR
|
Sick pay at pension rate.
|
|
Stakeholder pension
|
A form of personal pension.
|
|
State pension age
|
The age at which you can receive your State pension. It is currently
65 for men and 60 for women. For women, it will increase to 65 over
the years 2010 to 2020.
|
S2P
State Second Pension
|
The additional state pension (on top of the basic State Retirement
Pension) that used to be called the State Earnings-Related Pension.
The amount you receive depends on your National Insurance
contributions.
|
|
Superannuation Act 1972
|
The act that set up the CSP arrangements.
[
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|
T
|
TPAS
The Pensions Advisory Service
|
An independent non-profit organisation that provides information and
guidance on pensions covering State, company, personal and
stakeholder schemes.
|
|
Transfers
|
The movement of pension benefits from one scheme to another.
|
|
TUPE
|
Transfer of Undertaking (Protection of Employment). The regulations
which protect employees’ terms and conditions (except occupational
pension arrangements) when the business in which they work is
transferred from one employer to another.
[
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|
W
|
|
WPS
|
Widows and Widowers’ Pension Scheme is part of the CSP arrangements.
[
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