Contingent Decisions – Buy-back of Opted Out Service

The Scottish Public Pensions Agency (SPPA) has paused the management of contingent decisions applications from legacy Scottish Police Pension Scheme 1987 (the 1987 scheme) members who are considering buying back opted out service in the remedy period. 

This pause is necessary while the Scottish Government and UK Government work through an issue that has arisen about determining the relevant legacy scheme following a buy-back of opted out service.  

What is the issue?

The policy intention of the 2015 Remedy aims to restore individuals as far as possible to the position they would have been in had the discrimination not occurred. 

However, in relation to officers who have opted out, an issue has arisen in relation to the interaction of the Public Service Pensions and Judicial Offices Act 2022 (PSPJOA 2022) and the various regulations specifically governing police pensions. 

The PSPJOA 2022 currently allows those who have opted out to join the most recent open legacy scheme following a buy-back. As the 1987 scheme closed to new entrants and re-joiners in 2006, those who opt to buy-back service is therefore excluded from further membership in the 1987 scheme and can therefore only join the Scottish Police Pension Scheme 2006 (the 2006 scheme).  

What is being done about it, and when?

Scottish Government officials are discussing this with the relevant UK Government departments to explore what options are available. 

Current position

The SPPA can confirm that this pause in processing contingent decisions for 1987 opt-outs is essential due to the current legal position.  

We are committed to resolving this issue and will provide an update on your application once legal and policy positions are clarified.

We understand that this pause will be disappointing news and we thank you for your patience and understanding whilst we work to resolve this issue.

Am I eligible to apply?

If you opted out between 12 March 2012 and 28 February 2022, you could apply to buy back service from 1 April 2015 to 31 March 2022, if the reason you opted out was related to the discrimination identified by the courts. 

Check if you’re eligible for 2015 Remedy.

Your opted-out service can be bought back for any qualifying service built up from 1 April 2015 to 31 March 2022. Your service will be reckonable in the 2006 scheme.

If you have any opted-out service after 1 April 2022, we can re-instate your membership in the CARE scheme from 1 April 2022.

What if I have maximum service

If I’ve reached maximum service before the remedy period

Service between the date maximum service was reached up to 1 April 2015 will not count for pension purposes.

Service between 1 April 2015 and 31 March 2022 will count for pension purposes only if CARE scheme benefits are chosen for the remedy period.

If I’ve reached maximum service during the remedy period

Service between the date maximum service was reached up to 1 April 2015 will not count for pension purposes.

Service between 1 April 2015 and 31 March 2022 will count for pension purposes only if CARE scheme benefits are chosen for the remedy period.

However, service between the date maximum service was reached and 31 March 2022 will count for pension purposes, only if CARE scheme benefits are chosen for the remedy period.

How much will it cost?

If your claim is approved, you'll need to pay the total contributions and interest due.

Tax relief will be deducted from the amount due. The way this will be deducted depends on your status and your selected payment option.

Annual allowance

If you buy back into your pension, any increase in your pension benefits might change your annual allowance.

How to apply

Before you apply

Before starting your application, check that you meet the following eligibility criteria:

• you’re eligible for 2015 Remedy
• the service you want to buy back is during the period 1 April 2015 to 31 March 2022
• you opted out between 12 March 2012 and 28 February 2022
• you would not have opted out if the discrimination identified by the courts had not happened.

If you're eligible, complete the application form.

You may need to provide evidence with your application. 

Police - opt out contingent decisions form

Evidence to support your application

The date you opted out of the scheme and your transition date (this is the date you were due to transition into the CARE scheme). will determine the evidence we need you to provide.

• If you opted out within six months of your transition date, you do not need to provide any supporting evidence at this stage as we should already have the evidence required.
• If you opted out more than six months before your transition date - or more than six months after your transition date, you’ll need to provide evidence to support the claim.

Evidence can include:

• letters or emails with your employer
• letters, emails or decisions from the SPPA
• letters, emails or documents from a financial adviser
• letters or emails with an independent advice or advocacy service, for example your local Citizens Advice Bureau
• a formal complaint or claim, or
• any other written correspondence that the changes to your pension influenced your financial decision.

You can send us copies of your evidence. If you send us any originals, we'll send them back to you.

When to apply

You can apply now, but you must apply within 12 months of receiving your Remedial Service Statement. We accept new applications after this date.

During the period 1 October 2023 to 31 March 2025, we will be issuing Remediable Service Statements to all eligible active and deferred members, pensioners and beneficiaries of deceased members.

The information and remedy choices provided to you in the Remediable Service Statements will be affected by any Contingent Decision claim that you intend to make. 

Where possible, you should consider making your claim and any subsequent election for a Contingent Decision at least six months prior to your retirement to ensure that there are minimal delays with processing your benefits.

Applying for someone else

You can apply on behalf of a member if you have power of attorney for them or are legally acting on their behalf.

You can also apply if you're making decisions on behalf of a member who has died.

Getting help to apply

You might want to get independent support or advocacy to help you apply to buy back into your pension scheme.

You can find out about advocates in your area by contacting the Scottish Independent Advocacy Alliance:

Phone: 0131 510 9410

Website: www.siaa.org.uk

You can find out about advisers in your area through Citizens Advice Scotland:

Website: www.cas.org.uk 

Submitting your form and evidence

By email

If you’re emailing us your form, scan in and email us your evidence with your application form.

Email us at: SPPAcustomercare@gov.scot

By post

If you’re posting us your form, make sure you include photocopies of your evidence.

Post your application and evidence to:

Scottish Public Pensions Agency
7 Tweedside Park
Tweedbank
Galashiels
TD1 3TE

What happens after you apply

We’ll confirm we’ve received your application.

We’ll review your application and evidence. Within six months of receiving your completed claim, we’ll decide if your application:

• is successful – and we’ll tell you how much you’ll need to pay
• is rejected, – and we’ll explain to you why
• needs more evidence to support your application

We will let you know if further evidence is needed. If we need more evidence, we’ll let you know. You’ll have three months to send us new or extra evidence if your application is approved

If your application is approved, we’ll send you a contingent decision ‘Remediable Service Statement’ (RSS) for buying back opted-out service.

This will have details of:

• the contributions and interest that you’ll have to pay
• information about any associated pension benefits so you can see the impact of any Contingent Decision election. Both the 

Legacy and CARE Scheme choices will be shown

• details of how and when you will need to make payment(s)

We’ll also ask you to let us know your decision. You must make your decision within 12 months.

If your application is rejected

If your application is rejected, we’ll send you details of how to raise a dispute through the Internal Dispute Resolution Procedure (IDRP).

You’ll also have the right of appeal to The Pensions Ombudsman.