Police Federation condemns ‘overnight’ cut to police pension lump sums

22 May 2026

Police officers in the 1987 Police Pension Scheme are facing an immediate reduction in the lump sums they receive at retirement, following a sudden change to commutation factors introduced this week.

The change was triggered by a Treasury decision to increase the SCAPE discount rate, with revised commutation factors issued today and applied with immediate effect.

Commutation factors determine how much cash an officer receives if they choose to give up part of their annual pension at retirement.

Under the new factors, officers retiring from today will receive almost 5 per cent less lump sum for the same amount of pension surrendered than an officer retiring last week. That change is expected to cost police officers thousands of pounds each.

Without warning

The Police Federation says the speed and timing of the change means some officers retiring now are being hit without warning, despite having received retirement quotations or benefit illustrations based on the previous factors only weeks earlier. That means officers may have already made financial decisions based on those figures.

The Federation has confirmed it is seeking independent advice on the scale and justification for the change, and on whether those who received recent quotations could take legal action because of financial detriment.

John Partington, Police Federation National Secretary, said “After decades of service, the ‘thanks’ retiring officers get is this: government quietly shaving cash off a hard-earned retirement overnight. It’s a blatant case of picking the pockets of police pensioners, and we will not let it stand.”

Suffolk Police Federation Secretary Ben Hudson said he was in contact with chief officers regarding the issue.

Reassured

“I am assured that they will do all they can to provide as much information as they can to our members,” said Ben.

“I have been reassured through my communications this morning with the assistant chief officer that he and the Force are doing all they can to work with XPS to identify officers who will be immediately affected by these changes and will do all they can to support and assist these officers in the coming weeks and months.

“I would urge members who are looking to retire in the next few months to review the NPCC’s FAQ’s https://policepensioninfo.co.uk/wp-content/uploads/2026/05/NPCC-SCAPE-discount-rate-changes-FAQs.pdf.

“As a branch, there is nothing we can immediately do to assist members with this matter as we, like you, await further details of this unexpected HM Treasury decision.”

READ MORE: BBC interview highlights mounting rest days for Suffolk officers.