Pensions cap signals attitude change for public sector

Comments made at a Ministerial briefing by Pat McFadden MP, Parliamentary Secretary at the Cabinet Office, suggests at some point the government plans to cap contributions by the employer into the civil servant pension scheme. At the moment the government, as the employer, pays around 19.4% into civil service pensions, however McFadden has revealed if life expectancy increases more than expected, in the future the scheme will implement a cost sharing approach of contributions between the employer and employee up to an absolute cap of 20% for the government. A spokeswoman for the Cabinet...