Local Government Pension Scheme (LGPS)

The following pages provide information about the Local Government Pension Scheme (LGPS) for employees of South Tyneside Council.

Permanent employees

The Council must enrol permanent new employees into the pension scheme by law.

If you are a permanent employee, you will automatically be enrolled into the scheme when you start work at South Tyneside Council.

You can opt out if you want to, see opting in / out.

New employees

To make sure you are paid correctly, you must tell us about your previous employment. 

Please complete the employment history form.

Temporary contracts and casual workers

You will not automatically be enrolled if your contract is for less than 3 months. However, you can join if you want to.

See opting in / out.

If your contract is extended

If your contract is extended to be three months or more, you will automatically be enrolled from the date your contract is extended. You can opt out if you want to.

See opting in / out.

Teachers Pension Scheme

For information about the Teachers Pensions scheme, see the Teachers pensions website.

If your address changes

You must tell the Council if your home address changes.

See how to contact the HR Service Centre.

When you join the LGPS, both you and the Council will pay into your pension.

If you are a taxpayer, you will get tax relief on those contributions, and on any extra contributions you choose to make.

The amount the Council contributes towards the scheme is looked at every three years by the Pension Fund.

To view how much you will contribute in 2021, see Tyne and Wear pension fund: What contributions will I pay?

Paying less

If you would like to stay in the LGPS but pay less, you can choose to join the 50/50 scheme.

This means that you pay half of your normal contributions, and build up half of your normal pension.

You still get full life assurance cover and ill-health cover. 

By law, if you join the 50/50 scheme, the Council must regularly re-enrol you into the main scheme, see re-enrolment.

For more information on the 50/50 scheme, see Tyne and Wear Pension Fund: 50/50 scheme.

Paying more

You can choose to pay more towards your pension.

There are different options available, depending on your needs.

For more information, see Tyne and Wear Pension Fund: Increasing your benefits.

Opting in / re-joining the scheme

Joining or re-joining

If you have opted out of the scheme, you can re-join if you still meet the eligibility criteria by completing the form below.

You can also use this form to join the scheme if you are a temporary or casual worker, and you haven't automatically been enrolled.

Opt into / Re-join the LGPS form

Joining the main scheme after being part of the 50/50 scheme

If you are currently in the 50/50 scheme and you want to join the main scheme, please complete the following form:

Re-join the LGPS main scheme form

Please note: You will be contracted-out of the State Second Pension (S2P) Scheme whilst you are a member of the LGPS. If you already have a fixed or enhanced protection certificate, you may lose this protection when you join the LGPS.

Opting out

You can opt out of the scheme by completing the following form:

LGPS Opt out form

You cannot sign and date the form until your first day of membership, at the earliest.

If you opt out within the first three months of being enrolled, your contributions will be refunded.

If you opt out after three months, you will not be refunded. You will be entitled to pension benefits according to the scheme.

Regular re-enrolment

If you are eligible to join the scheme, by law, the Council must regularly re-enrol you.

You will automatically be re-enrolled if you:

• have either opted out of the scheme, or you pay reduced contributions (the 50/50 scheme)
• are aged at least 22
• are under the State Pension Age, and
• earn more than £8,105 a year.

You will automatically be re-enrolled on the next 're-enrolment date', which is between 1 January 2022 to 1 July 2022.

You will be contacted when this is due to happen.

You can opt out, or re-join the 50/50 scheme, if it's still not right for you.

South Tyneside Council and Homes employees who are members of the LGPS have the option to increase their pension benefits through the Shared Cost Additional Voluntary Contribution Scheme (Shared Cost AVC Scheme).

The Shared Cost AVC Scheme offers you:

• a cost-efficient way to invest in your financial future
• a way to save for your future alongside your LGPS
• help to make Income Tax and National Insurance contribution savings

The Council is working with experts at AVC Wise to deliver straightforward, actionable information to our LGPS members.

How it works

• The member chooses their contribution amount, and all but £1 of this is taken via salary sacrifice (this is what makes it 'Shared Cost')
• The total contribution amount is sent to a separate 'pot' that sits alongside the LGPS main scheme pension, and this pot is held by your employer's AVC provider of choice
• Because it's processed via salary sacrifice, the contributions make savings in Income Tax and National Insurance contributions, making this a very valuable way to save for retirement
• The Shared Cost AVC pot can also be accessed at retirement in a variety of ways
• LGPS members could even withdraw the Shared Cost AVC pot 100% tax free at retirement

You can make your Shared Cost AVC application at AVC Wise: Shared Cost AVC Application.

To find out more about AVC Wise, see AVC Wise.

For more information see:

• Tyne and Wear Pension Fund
• Local Government Pension Scheme website
• GOV.UK: Workplace pensions

If you have any queries, please contact the HR Service Centre on 0191 424 6640 or email hr.operations@southtyneside.gov.uk