Opting out of the LGPS
Deciding whether or not to pay into the Local Government Pension Scheme (LGPS) is an important decision and one you should consider carefully.
If you decide that you don't want to pay into the LGPS then you can opt out by downloading and completing our opt out form.
If you are a new Local Government employee and you don't want to join the scheme then you should fill in the opt out form as soon as possible if you don't want pension contributions to be deducted from your pay.
Before making the decision to opt out of the LGPS you may want to think about the 50/50 option.
If you are finding it difficult to afford to pay pension contributions, the national website for LGPS members has information about where to find help during the current cost of living crisis.
If you do opt out, then the length of time you have paid into the scheme will affect the options you have once you have opted out. For members who were paying into the LGPS on or after 1st April 2014:
- If you opt out of the LGPS before completing 3 months' membership you will be treated as never having been a member and your employer will refund the contributions through your pay.
- If you opt out of the LGPS with 3 or more months' membership and but have less than 2 years' membership, usually you can take a refund of your contributions or transfer your pension to another scheme.
- If you opt out of the pension scheme and you have paid into the scheme for more than two years then the benefits you have built up in the scheme will be preserved, or 'frozen'. These are known as deferred benefits and you can find out more in our Deferred Members section. You should also read our section on things to consider when thinking about opting out.
- If you opt out of the scheme on or after 11 April 2015 and are not entitled to a refund of contributions and you later re-join the scheme (either by opting in or being put back into the scheme by your employer under auto enrolment rules or by joining the scheme in a new employment) you will not have the option to combine your pension accounts.
If you left the LGPS before 1st April 2014 different rules may apply. Please contact us for more information.
If you opt out of the scheme you can choose to opt back in at a later date - please visit the Joining the LGPS page to download the form you will need to complete if you wish to rejoin the scheme.