Treasury admits thousands will ditch public sector pensions

Documents released under a Freedom of Information Request by the Local Government Chronicle show 6% of people earning below £25,000 and 8% of people earning £21,000 will leave the scheme if the Treasury increases contributions by 3%. About two-thirds of local government workers earn less than £21,000, according to Unison and GMB unions, meaning a contribution hike would leave tens of thousands of the LGPS's 1.7m members opting out. LGPS out-opt rates are already the highest in the public sector at 25% and members pay the highest contribution rates between 5% and 7.5%. The Treasury...