The use of large up-front fees and disproportionate deposits has already resulted in significant cost consequences for one care provider.
The Department for Education introduced regulations earlier this month which make a number of changes to the Teachers’ Pension Scheme including to contribution rates. The employer contribution rate will be increasing from 14.1% to 16.4% with effect from 1 September 2015. Although the regulations themselves come into force on 1 April 2015, the rise in the contribution rate has been delayed until the new academic year to allow employers to budget for the new rates.
Employee contribution rates are also changing with effect from 1 April 2015. These will now be:
|Annual salary rate||Members’ contribution rate|
|£0 - £25,999||7.4%|
|£26,000 - £34,999||8.6%|
|£35,000 - £41,499||9.6%|
|£41,500 - £54,999||10.2%|
|£55,000 - £74,999||11.3%|
These salary bands will increase each year in line with any increase in the consumer prices index for the month of September, rounded up to the nearest £1. Concerns have been raised about the level of employee contributions and the Department for Education has confirmed that these will be revisited when the next evaluation takes place in 4 years’ time.
The Department for Education has also confirmed that the cost of administering the Teachers’ Pension Scheme will in future be paid by participating employers rather than the Department for Education. Again, this change will be introduced from September 2015 rather than April 2015 in order to allow participating employers to budget for this. It is estimated that this will result in an additional charge to employers of approximately 0.08% of salary costs.
For more information
If you have any questions on these proposals or require advice more generally in relation to the Teachers’ Pension Scheme, please contact Doug Mullen on 0121 212 7432 or email@example.com.
The government announced on 16 May that it will provide a fund of £400m to cover the costs of removal and replacement of cladding to high rise residential blocks which have failed tests.
Whilst some people are under the impression that preparing a Lasting Power of Attorney (LPA) is simply a case of completing a form and ticking a few boxes, it is about far more than this.
A big fear for some people facing divorce and the inevitable carving up of the matrimonial assets. They seek assurances that such assets will be “ring-fenced” and retained for them.
Thinking about the legal status of being a cohabitant probably isn’t at the top of the ‘to do’ list.
When an individual is thinking about making a gift to another individual, consideration needs to be given to the Potentially Exempt Transfer (PET) trap.
We are now only a few weeks away from the biggest change to data protection laws in over 20 years. Are you compliant?
The tragedy, in this case, is that there were options readily available to the midwives that they could have used. This was not a case of having to go above and beyond.
Arising from the recent Family Division announcement, people who think they are legally divorced may in fact still be married.
The SCCS has issued providers in the scheme a series of updated and new documents in order to assist with their National Minimum Wage review.
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