Retirement

Congratulations on reaching the milestone of retirement from your policing career!

Transitioning from a life dedicated to policing to retirement can be both exciting and challenging. This page aims to provide guidance and assistance to police officers like yourself as you embark on this new chapter of your life. It will sign post you to various aspects including finances, CV writing, pre-retirement courses, and other online resources to facilitate a smooth transition.

Retirement is a significant life transition that offers new opportunities for personal growth, leisure, and fulfilment. By proactively planning and utilising the resources available to you, you can make the most of your retirement years and embark on a rewarding new journey beyond policing.

Blue Light Leavers

A site created by an ex-police officer offering assistance in the following areas:

• Transferable skills
• CV’s and cover letters
• LinkedIn profile creation
• Jobs
• Qualifications
• Interview Preparation
• Much more…

Visit website: Blue Light Leavers

College of Policing

The College of policing offers a dedicated webpage which enables you to select your current role to find out more information about the sorts of transferable skills, values and behaviours that you can use to help shape your career outside of policing. This, along with your knowledge and experience, will help you identify potential roles that you might be suitable for.

Visit website: https://profdev.college.police.uk/career-pathways/leaving-the-force/

OscarKilo

An online resource provided by the National Police Wellbeing Service offering advice on how to navigate the change when leaving the police. The site includes the following information:

• Looking after your wellbeing
• Starting your journey & getting ready to leave
• Finding your next job – Networking & CVs
• Interviews
• Your finances 

https://oscarkilo.org.uk/leaving-the-police

Met Friendly

Offer free pre-retirement online seminars/courses.

Visit website: https://www.metfriendly.org.uk/events/pre-retirement-seminars/

Police Mutual

Police Mutuals retirement centre page offers advice and guidance on a range of topics. You can book onto their free pre-retirement courses which offer the following help:

• How to cope with change
• Your Police Pension - commutation and your options
• State Pension and taxation
• Financial Planning for retirement - identifying short, medium and long term needs
• Savings and investments - how to assess the level of risk you're prepared to take and match this to investments capable of delivering the level of returns you seek
• Taking Financial Advice - The do's and don'ts
• Second careers
• Wills and estate planning
• Health and wellbeing

Visit website: https://www.policemutual.co.uk/why-us/for-you/retirement-centre/

National Association of Retired Police Officers (NARPO)

NARPO represents more than a quarter of a million former Police Officers, staff, their partners, and former partners, and those widowed both in and after service. Their primary concerns are to do with pensions, wellbeing, and a fulfilled later life.

They are a significant body and there to help you manage your life, work and leisure – from the perspective of former practitioners and current users of the Police Service. They are an active member of the Public Service Pensioners Council and Later Life Ambitions.

Their website offers a range of support services and advice articles.

Address: 38 Bond St, Wakefield, West Yorkshire, WF1 2QP

Tel: 01924 362166

Email:  hq@narpo.org

Website: https://narpo.org/

Please click HERE for further information

Scheme Sanction Charge & Unauthorised Payment Surcharge                

Scheme Sanction Charge

The Scheme Sanction Charge is a charge related to an unauthorised payment. An unauthorised payment happens when a commutation lump sum is above the Pension Commencement Lump Sum (PCLS) threshold. Unauthorised payments have been happening since 2011 when commutation factors rose and the size of the lump sum increased. 

There is a member charge of 40% of the unauthorised payment, and a 15% charge known as scheme sanction charge, which should be paid by the scheme, but some scheme managers have been passing this charge to the member. 

As background to this issue- 

• In 2010 the commutation factors changed to above 20, that breached the HMRC maximum limit introducing the unauthorised payment charges, and with them the scheme sanction charge. 
• Neither Home Office or HMRC were able to advise scheme managers on how to treat scheme sanction charges and who should pay these. 
• Scheme managers are responsible for managing, administering and governing the scheme. 
• Scheme managers who took the decision to pass the charge to the member should have an audit as to why the charge would be passed to the member, and their reasoning. 
• Since 2021 when a national pension team was established within NPCC, advice has been given on the matter of the scheme sanction charge. 

The charge should not be passed to the member, because the scheme rules do not allow it. The finance act 2004, says in section 239 paragraph 2 that the person liable to the scheme sanction charge is the scheme administrator. To clarify for the purposes of the term ‘scheme administrator’ they mean the scheme manager - Finance Act 2004 (legislation.gov.uk). Therefore, the person liable is the scheme, and the scheme sanction charge is not chargeable to the member if the pension scheme rules do not allow for it, the 1987 regulations have never been amended to allow the scheme to deduct the tax charge from the member. 

Retired officers who paid tax on their commutation should have received information from the Force. In that information it would state if a Scheme Sanction Charge had been applied.  

If an officer chooses the maximum lump sum commutation from the 1987 pension and has not reached 62 years and 2 months, then there is a tax implication as it breaches scheme rules. The HMRC then levy a Scheme Sanction Charge for the breach of scheme rules.  

Lincolnshire Federation has raised this matter locally with Nick Ward from Finance and we have received assurances that the force has never passed on the Sanction Charge.

Unauthorised Payment Surcharge

This is a tax separate to SCC and is deducted from the lump sum only with the agreement from the individual.