Pensions in the Nuclear industry

Prospect have always been heavily involved with pensions issues in the Nuclear sector. From protecting member’s pension protections with legal challenges to representing individuals with specific pension issues, Prospect has a track record on Nuclear industry pensions to be proud of.

Prospect’s Research department has produced content on different pensions issues relevant to members in this sector. The most relevant of these are detailed below.

Changes to NDA estate members’ pensions

Members of final salary pension schemes in the Nuclear Decommissioning Authority estate were balloted during May 2017 on proposals to reform those schemes. Prospect members voted to accept the changes.

Members can download our briefing about the proposals and the ballot.

The schemes affected are:

  • Combined Nuclear Pension Plan (final salary sections)
  • Magnox Electric Group of the Electricity Supply Pension Scheme.

The proposals contain provisions that would require pension protections in the electricity and energy acts to be amended.

The amendments would only affect the employers and the pension schemes covered by the NDA’s consultation. The employers are:

  • Sellafield
  • Magnox
  • Direct Rail Services
  • Dounreay Site Restoration Ltd
  • Low Level Waste Repository
  • International Nuclear Services

The legislation implementing the proposals would be limited to these employers, these schemes and the specified changes which were balloted on. After that, the current pension protections take effect again.

Originally, the changes were due to be implemented in April 2018. As legislation is required to implement these changes, there have been delays to the process due to Brexit and coronavirus. It is expected that once legislation has been passed, implementation of the changes will occur within 6 to 12 months.

Once there are developments, this webpage will be updated.

Introduction to pension tax relief

This briefing explains some of the features of pension tax relief for members of pension schemes. It particularly covers how pension tax relief is restricted for higher earners because this is the area of pension tax relief that is most complicated.

Introduction to pension tax relief