On the go: The NHS Business Services Authority has warned that it has experienced delays to handling some retirement applications after a 35 per cent surge in applications during the spring.
A message sent to NHS employing organisations on June 24 stated: “During spring we received a 35 per cent increase in retirement applications, which is causing a delay to some of the applications which require more complex manual applications.”
In January, Quilter warned of a March exodus of NHS staff with coronavirus pandemic-related pension protections set to conclude.
The wealth management company predicted that more than 7,000 doctors and nurses could be affected by certain pension protections coming to an end, suggesting that they could choose to retire as a result.
Some members of the NHS Pension Scheme are allowed to retire at age 55 without any cut to their pension, including nurses with “special class” status and psychiatrists with “mental health officer” status.
But in normal circumstances, retired doctors or nurses returning to work can see their NHS pension reduced under a process known as “abatement”.
In March 2020, the government introduced measures to allow recently retired NHS staff to return to work to tackle the pandemic without suffering a penalty on their pension, but this temporary suspension came to an end on March 24.
A NHSBSA spokesperson said: “Following an increase in the number of retirement applications we received for April 2022 compared with April the previous year, our message asked employers to please keep members updated on the status of their retirement application before it is submitted to NHS Pensions for processing.”
The body said it is seeing “an increased number of enquiries from members asking about the status of their retirement application before the application has been submitted”.
“We also advised that we are exploring introducing some additional changes to help proactively keep members updated on the status of their application once it has been received by NHS Pensions,” the spokesperson added.
These include “keeping members copied on correspondence with their employer should we need to ask for more information or clarify any of the details provided to us to allow the member’s application to be processed.”
The missive drew concern from the British Medical Association, which looks set to push for the expedition of the McCloud remedy and the introduction of pension recycling rules in the NHS Pension Scheme after receiving backing from its membership.
Dr Vishal Sharma, chair of BMA’s consultants committee and its pensions committee, said: “This rise in retirement applications means a loss to patients and to the NHS of highly experienced doctors, but at a time when they have never been more needed.
“The BMA has been warning of this for years but we have a government seemingly willing to stand aside and watch it happen. Despite repeated calls from the BMA to restore pay levels, reform pension taxation and develop a proper plan for retaining staff, the government refuses to take any meaningful action.
“We are now starting to see exactly what we have been warning of — doctors being left with no option but to retire early to avoid being financially disadvantaged. Enough is enough, ministers need to listen and act if the government and this country want the NHS to survive.”
A Department of Health and Social Care spokesperson said: “We are hugely grateful to all NHS staff for the services they provide and we are working hard to support and grow the workforce in order to bust the Covid backlogs.
“We are focused on creating a more modern, compassionate and inclusive NHS culture by strengthening health and wellbeing, equality and diversity, culture and leadership and flexible working."
