McCloud incentives see hundreds of Scottish police retire early

The Times reported on a freedom of information act request by the Scottish Liberal Democrats, which revealed some 850 of Police Scotland’s most experienced officers will retire early this year. 

A source told The Times that retirement levels are 69 per cent higher than is usual. The 850 officers retiring early represent half of all those eligible, which Scottish Liberal Democrat deputy leader Wendy Chamberlain said would leave “deep wounds” in the force.

A Police Scotland spokesperson confirmed to Pensions Expert that the body took no issue with the figures as reported.

The incentive to retire early arises from the implementation of the McCloud remedy. Pensions Expert reported in April on fears that changes to the rules around lump sums could lead to an exodus of staff, as the lifting of the commutation cap from the Scottish police’s 1987 scheme led to 1,800 members querying the size of the sum they would receive under the new system.

Under the previous system, officers with more than 25 years’ but less than 30 years’ service saw their lump sum restricted to 2.25 times their initial pension, but now the cap has been removed the lump sum will be “determined by reference to the actuarial tables”, according to a circular sent to members by the Scottish Police Federation in February.

The rule change introduced as part of the McCloud remedy means officers with 25 years’ service can choose to retire at 50, receiving lump sums worth as much as £250,000 for the highest-paid staff, and an annual pension worth around half their final salary, The Times reported.

A Police Scotland spokesperson said: “Right across the country, officers and staff are working incredibly hard to maintain effective policing for all our communities and the organisation is deeply grateful for all their hard work. It is important our people are rewarded for work in line with their terms and conditions.

“Increased absence through the pandemic, training delays due to Covid and COP26, and increased retirals mean officer numbers are lower than they would otherwise have been.

“We are prioritising support into our Contact, Command and Control (C3) Division, into our response capability and into public protection and we are actively recruiting officers now, with a supporting campaign in place.”