Impact of Changes to Public Service Pension Scheme Commutation Factors

That the Parliament recognises the service and dedication of police officers and firefighters who it sees as being in the frontline in protecting communities across Scotland; notes with concern the impact on unfunded public service pension schemes of changes to commutation factors arising from the increase in the Superannuation Contributions Adjusted for Past Experience (SCAPE) discount rate from Consumer Price Index plus 1.7% to Consumer Price Index plus 2%; understands that retiring members of the 1987 Police Pension Scheme and the 1992 Firefighters' Pension Scheme who choose to commute part of their pension for a tax-free lump sum may receive significantly lower lump-sum payments as a result of the revised factors; considers that some members approaching retirement may have made long-term financial decisions based on pension forecasts and retirement quotations produced before the changes took effect; believes that the immediate implementation of the revised factors has caused distress for affected members and their families; notes that the Police Federation of England and Wales has stated that it is taking legal and actuarial advice on the scope of the changes, and that the Fire Brigades Union has indicated that it will continue to challenge the UK Government to deliver fair, transparent and properly funded pension arrangements, and calls on the UK Government to explore measures that could improve communication and fairness for members affected by future changes to public service pension schemes.