Contribution Bandings

The actual contribution rate depends on how much a member earns. The pay bands from 1st April 2022 are outlined below. The salary ranges for each contribution band will change each April in line with the cost of living:

Band Actual pay for employment Main Section 50/50 Section
1 Up to £16,500 5.50% 2.75%
2 £16,501 to £25,900 5.80% 2.90%
3 £25,901 to £42,100 6.50% 3.25%
4 £42,101 to £53,300 6.80% 3.40%
5 £53,301 to £74,700 8.50% 4.25%
6 £74,701 to £105,900 9.90% 4.95%
7 £105,901 to £124,800 10.50% 5.25%
8 £124,801 to £187,200 11.40% 5.70%
9 £187,201 or more 12.50% 6.25%

It is the employer’s duty to inform members of their contribution band, and of any later changes to the percentage they will be paying.

Employer contribution

The employer pays the balance of the cost of providing the benefits in the Local Government Pension Scheme. Every three year an actuarial valuation is undertaken to calculate how much the employer should contribute to the scheme.