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Consultation on funding increases to teachers’ pensions employer contributions

06 February 2019      Caroline Jones, Employment tax director

The Department for Education’s consultation on the proposal to support certain education institutions with the increase to employer contributions to the Teachers’ Pension Scheme (TPS) in 2019-20 closes on 12th February 2019.

This consultation focuses on the TPS, which provides a pension for teachers in: State-funded schools, Further Education, Higher Education and independent schools. There are 5 key questions and DfE recognises there will be additional costs that will significantly affect Universities and other organisations providing Higher Education obliged to offer TPS. They are seeking views on the impact across the HE sector, in order for them to decide if mitigations are necessary.

The Department proposes funding schools and FE colleges and other public-funded training organisations. It is not proposing to fund Universities and other organisations providing Higher Education obliged to offer TPS, for these increased costs. This is their starting position, but the consultation is being used to test the potential impact.



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