Retrospective changes to Army Pension that will cost thousands

Discussion in 'Armed Forces Pension Scheme' started by dangerous1, Oct 31, 2011.

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  1. Just had the good news that good old HMG has retrospectively changed the rules on commutation of your pension and has decided that me and lots
    of others have to pay back some of their lump sum WTF. My bill is just under £2000. Can this be right ? Can anything be done?
  2. A2_Matelot

    A2_Matelot LE Book Reviewer

    I believed (willing to be corrected) that Parliament had to approve any such alterations to existing pension T&C?
  3. Where did you hear that? Sounds like a load of balls to me.

  4. Got the letter and good news off the Service Personnel and Veterans Agency today. They are always getting money back off people who deserve it but when it comes to scroungers forget it.
  5. So what was the rule change then and how far back does it go? Was it about the amount you can coimmute or the fact that you can commute at all?
  6. *****, the lot of 'em!
  7. Yep they are, we dont have a big enough voice, what we do have is pockets they legally pick.
  8. stupid question but when did you get your pension ?

    as i understood the legislation that came into force as at may 2010 the rule changes based on the 2003 legislation (which is why they dreamed up afps 05) anyhow it clearly states thsat the changes to comutation allowances changed on specific dates so it only affects people from those dates onwards

    "an effective date of 11 January 2010" "effective date of 23 March 2011"

    "and Xafinity Paymaster will be instructed to make any adjustments necessary, i.e. to pay any arrears due or recover any overpaid sums by deduction from pension."

    so um its only for people who left recently and it only effects people goverend by changed brought about under the 2003 pensions legislation and the 2004 finance legislation and you should of been told about the potential problem in your prior letters from spva which notified you about your award

    anyway your not going ot loose out on the money per se just have to wait untill the relevent age to get given it back ....
  9. I received it in July 10, but no I had no prior notification of this.
  10. well in that case if the changes are going ot leave you in a position of hardship and you had no prior warning from the paying or awarding authorities of possible impending adjustments then theres every reason you should get some legal help and argue that just like the tax office didnt enforce the 6 million pound bill on vodaphone they should let you off as well
    in fact the same can be said for anyone who wasnt told about it, oddly i was informed about it and yet mine was an invaliding pension ....
  11. Write them a polite letter stating that you will face severe financial difficulties if you have to pay any monies owed and request that they apply to the Treasury to have the amount owed written off. Should this not work and they still want the money, offer to pay an amount you can afford (without falling into too much difficulty) from your army pension.
  12. When you took out commutation my guess is that they told you how much it was going to cost and you entered into the agreement on that basis. To come back now and tell you that they got their side of the contract wrong by £2k doesn't seem reasonable. Our advice is to launch an IDRP and push it all the way.
    • Like Like x 3
  13. ForcesPensionSociety - is this the kind of thing you can help with?

    i'm still serving but due out soon - i've heard your ads on Garrison Radio and have been tempted - i just didn't want to fork out the membership but if this kind of thing is happening and you guys can help then i'm deffo joining.

    let us know if you can help.
  14. My advice would be to join whether you need FPS or not, they do a great job representing us and safeguarding our interests.