Remuneration report

In reaching its recommendations, the Review Body has regard to the following considerations:

• the need to recruit, retain and motivate suitably able and qualified people to exercise their different responsibilities;
• regional/local variations in labour markets and their effects on the recruitment and retention of staff;
• Government policies for improving the public services including the requirement on departments to meet the output targets for the delivery of departmental services;
• the funds available to departments as set out in the Government’s departmental expenditure limits; and
• the Government’s inflation target.

The Review Body takes account of the evidence it receives about wider economic considerations and the affordability of its recommendations. Further information about the work of the Review Body can be found on the Office of Manpower Economics page.

Service contracts

The Constitutional Reform and Governance Act 2010 requires Civil Service appointments to be made on merit on the basis of fair and open competition. The Recruitment Principles published by the Civil Service Commission specify the circumstances when appointments may be made otherwise.

Unless otherwise stated below, the officials covered by this report hold appointments which are open-ended. Early termination, other than for misconduct, would result in the individual receiving compensation as set out in the Civil Service Compensation Scheme.

Further information about the work of the can be found on the Civil Service Commission website. 

This report has been prepared in accordance with guidance EPN 647. The tables in the remuneration report are subject to audit.

Service contracts for Board members are listed below:

Name	First term of appointment	Duration of first term contract	Second term of appointment	Duration of second term of contract
Professor Susan Jebb OBE, PhD, FRCP (Hon), FMedSci (Chair)	1 July 2021	3 years	-	-
Dr Ruth Hussey CB, OBE, DL (Deputy Chair) (1)	1 July 2020	3 years	-	-
Dr Ruth Hussey CB, OBE, DL (Interim Chair) (1)	1 February 2021	Until a new FSA Chair was appointed	-	-
Colm McKenna	1 September 2016	3 years	1 September 2019 (3)	1 year
Peter Price	1 September 2020	3 years	-	-
Margaret GIlmore	18 November 2019	3 years	-	-
Timothy Riley	18 November 2019	3 years	-	-
Mark Rolfe	18 November 2019	3 years	-	-
Fiona Gately	1 June 2021	3 years	-	-
Lord David Blencathra	1 June 2021	3 years	-	-
Heather Hancock DI LVO (2)	1 April 2016	3 years	1 April 2019 (2)	3 years
David Brooks (5)	1 April 2016	3 years	1 April 2019	2 years
Mary Quicke MBE DL (5)	1 September 2017	3 years	-	-
Stuart Reid CBE (5)	1 September 2017	3 years	-	-

1. Dr Ruth Hussey CB OBE served as the FSA Board Member for Wales until 30 June 2020, then began as Deputy Chair starting 01 July 2020 and as Interim Chair from 01 February 2021 to 30 June 2021.
2. Heather Hancock LVO DL stepped down as Chair as of 31 January 2021.
3. Colm McKenna was granted an extension to his second term as of 01 September 2020 for a short but indefinite period until a successor as Board Member for Northern Ireland was appointed. Colm has since left the Food Standards Agency on the 31 August 2022.
4. The following reappointments were made during March 2022: Margaret Gilmore, Timothy Riley, and Mark Rolfe. All the aforementioned Board Members will begin their second term of service on the 18 of November 2022, following the expiration of their current contracts.
5. Board member who left during financial year 2020/21.

Board members may serve a maximum of two terms, and length of term may vary.

All members of the Executive Management Team are permanent members of staff except Guy Poppy who was on secondment from Southampton University, Robin May who is on secondment from Birmingham University, Pam Beadman who was on secondment from The Department of Environment, Food & Rural Affairs and Paul Morrison who was on a fixed term contract. 

There is no provision made for compensation relating to the early termination of any board or executive management team members.

Remuneration (including salary) and pension entitlements

The following sections provide details of the remuneration and pension interests of the most senior management of the department.

The annual increase in Board members’ remuneration is based on that recommended for office holders by the Senior Salaries Review Body. Senior Civil Service (SCS) staff salaries are uplifted in line with the central (Cabinet Office) SCS performance based pay and review system.

Full details of the remuneration and pension interests of Board members and the Executive Management Team are detailed below and are subject to audit.

a) Remuneration

Executive Management Team

2021/22 figures (with 2020/21 comparators in brackets).

Single total figure of remuneration (audited)

Name	Salary (£000)	Bonus payments (£000)`	Benefits in kind (to nearest £100) (1)	Pensions benefits (to nearest (£1,000) (2)	Total (£000)
Emily Miles (Chief Executive)	120 to 125 (120 to 125)	5 to 10 (5 to 10)	- (-)	40 (57)	165 to 170 (185 to 190)
Maria Jennings Director of Regulation, Compliance, People and Northern Ireland)	100 to 105 (105 to 110)	0 to 5 (0 to 5)	- (-)	19 (44)	120 to 125 (150 to 155)
Julie Kettell (also known as Pierce) (Director of Openness, Data, Digital and Wales)	115 to 120 (115 to 120)	0 to 5 ( 5 to 10)	- (-)	45 (45)	160 to 165 (165 to 170)
Rebecca Sudworth (Director of Policy)	105 to 110 (105 to 110)	- (-)	- (-)	42 (42)	145 to 150 (145 to 150)
Simon Tunnicliffe (acting Chief Operating Officer from 10/12/21)	25 to 30 (-)	- (-)	- (-)	11 (-)	35 to 40 (-)
Craig Thomas (Interim Director of Finance and Performance from 3 August 2021 to 18 October 2021 (3)	10 to 15 (-)	- (-)	- (-)	6 (-)	20 to 25 (-)
Katie Pettifer (Director of Strategy, Legal, Communications and Governance from 19 July 2021 (3)	75 to 80 (-)	- (-)	- (-)	56 (-)	130 to 135 (-)
Pam Beadman (Director Finance and Performance from 6 September 2021 (3)	50 to 55 (-)	- (-)	- (-)	- (-)	50 to 55 (-)
Steven Pollock (Interim Director of Strategy, Legal, Communications and Governance from 20 January 2021 to 31 July 2021	30 to 35 (15 to 20)	0 to 5 (-)	- (-)	34 (25)	70 to 75 (40 to 45)
Chris Hitchen (Director Finance and Performance to 30 July 2021 (3)	30 to 35 (100 to 105)	- (-)	- (-)	13 (40)	45 to 50 (140 to 145)
Dr Colin Sullivan (Incident Director COVID-19 Pandemic 1 April 2020 to 3 August 2020. Chief Operating Officer from 3 August 202 to 10 December 2021) (3)	80 to 85 (110 to 115)	5 to 10 (0 to 5)	- (-)	29 (42)	115 to 120 (155 to 160)
Martin Evans (Acting Chief Operating Officer 23 March to 2020 to 3 August 2020) (3), (4)	- (35 to 40)	- (5 to 10)	- (-)	- (-)	- (40 to 45)
Paul Morrison (Director of Strategy, Legal and Governance from 2 December 2019 to 20 January 2021 (3)	- (80 to 85)	- (-)	- (-)	- (38)	- (115 to 120)

Notes

1. Benefits in Kind relate to travel costs paid by FSA where officers regularly work at more than one FSA site, making the travel costs paid taxable
2. The value of pension benefits accrued during the year is calculated as (the real increase in pension multiplied by 20) plus (the real increase in any lump sum) less (the contributions made by the individual). The real increases exclude increases due to inflation or any increase or decreases due to a transfer of pension rights.
3. Where individuals served for only part of the year only their actual pay and benefits during the period of the role is reported. FTE equivalents are: 2020/21 Paul Morrison £100k-£105k and Martin Evans £90k-£95k. 2021/22 Dr Colin Sullivan £105k-£110k, Chris Hitchen £100k-£105k, Steven Pollock £95k-£100k, Pam Beadman £90k-£95k and Simon Tunnicliffe £90k-£95k.
4. Martin Evans chose not to be covered by the Civil Service pension arrangements during the reported year. He took retirement upon his original leaving date but stayed on at the FSA and became Acting Chief Operating Officer because of the Pandemic. He didn't re-join a pension scheme when delaying his retirement though and so has no pension benefits during the time subject to disclosure. 
5. Anjali Juneja was appointed as Director of International & UK affairs in March 2022. She did not attend a Board Meeting as a member of EMT during this time and so her remuneration details have been excluded.

In addition to these members of the Executive Management Team, Guy Poppy was in the position of Chief Scientific Adviser from 01/08/2014 to 30/06/2020, on secondment from Southampton University. The FSA has been recharged salary costs by the university in the band £30-£35k for the period 01/04/2020 to 30/06/2020. FTE equivalent £135k-£140k. From 6th July 2020 Professor Robin May took over the position of Chief Scientific Adviser, on secondment from the University of Birmingham. The FSA has been recharged salary costs by the university in the band £55k-£60k for the period 06/07/2020 to 31/03/2021. FTE Equivalent £75k-£80k. The FSA has also been re-charged salary costs by the university in the band £75k-£80k for the for the period 01/04/2021 to 31/03/2022.

From 26 March 2020 to 3rd August 2020 Colin Sullivan became the FSA lead director for the FSA response to the COVID-19 pandemic, leading the agency response to the implications for public health and food safety during that incident. 

To support that work Martin Evans, Head of Field Operations stepped up as acting Chief Operating Officer until 3rd August 2020. His 2020/21 figures are displayed in the table above.

Colin Sullivan returned to his Chief Operating Officer role from 3 August 2020. He was a member of EMT all year and his actual figures are displayed in the table above. All pay received by Colin and Martin relating to these appointments was received in the 2020/21 financial year and is reported as such. The FTE for Colin Sullivan as COVID-19 Lead is £105-£110,000.

Pay Multiples

Reporting bodies are required to disclose the relationship between the remuneration of the highest-paid director in their organisation and the median remuneration of the organisation’s workforce. In the case of the Food Standards Agency the term Director refers to members of the Executive Management Team. As such the highest paid Director refers to the highest paid member of the Executive Management Team.

Consolidated FSA (audited)

The banded remuneration of the highest-paid director in the Food Standards Agency in the financial year 2021/22 was £125,000 – £130,000 (2020-21, £125,000 – £130,000). The relationship between the mid-point of this band and the remuneration of the organisation’s workforce is disclosed below.

2021-22	25th percentile	Median	75th percentile
Total renumeration (£)	31,067	38,317	42,532
Pay ratio	4.10	3.33	3.

 

2020-21	25th percentile	Median	75th percentile
Total renumeration (£)	31,691	37,950	43,658
Pay ratio	4.02	3.36	2.92

Total remuneration includes salary, non‑consolidated performance-related pay, and benefits-in-kind. It does not include severance payments, employer pension
contributions and the cash equivalent transfer value of pensions.

The values for the salary component of remuneration for the 25th percentile, median and 75th percentile were £28,798, £30,578 and £34,042 respectively.
Remuneration ranged from £18,000 to £125,000 to £130,000 (2020/21, £18,000 to £125,000 to £130,000).

The median remuneration of the workforce was 3.33:1 (2020-21, 3.36:1). The figure for 2020/21 has been restated as FTEs for fixed and temporary members of staff covering vacancies within the FSA have been included, which has altered the figure. The change

Percentage change in renumeration (audited)

Reporting bodies are also required to disclose the percentage change from the previous financial year in the:

a. salary and allowances, and
b. performance pay and bonuses 

of the highest paid director and of their employees as a whole.

The percentage changes in respect of The Food Standards Agency are shown in the following table. It should be noted that the calculation for the highest paid director is based on the mid-point of the band within which their remuneration fell in each year.

In accordance the with the Government Financial Reporting Manual section 6.5.21, the calculations below use the mean average.

Percentage change for:	2021/22 vs 2020/21
Average employee salary and allowances	0.5%
Highest paid director's salary and allowances	0%
Average employee performance pay and bonuses	-18.7%
Highest paid director's performance pay and bonuses	-20%

There is a negative correlation between the mean and median figures used in the calculations above as the median remuneration for the Food Standards Agency has
decreased and the mean average employee salary and allowances have increased. The median remuneration figure changed due to recruitment within the FSA resulting in a higher proportion of new starters within the headcount. The mean increase is a reflection of the change in grade mix with an increase at the higher grades.

FSA Westminster (audited)

The banded remuneration of the highest-paid director in the Food Standards Agency for Westminster in the financial year 2021 to 2022 was £125,000 to £130,000 (2020-21, £125,000 – £130,000). The relationship between the mid-point of this band and the remuneration of the organisation’s workforce is disclosed below.

2021-22	25th percentile	Median	75th percentile
Total renumeration (£)	32,015	37,662	42,756
Pay ratio	3.98	3.39	2.98

 

2020-21	25th percentile	Median	75th percentile
Total renumeration (£)	31,770	37,670	43,924
Pay ratio	4.01	3.38	2.90

Total remuneration includes salary, non-consolidated performance-related pay, and benefits-in-kind. It does not include severance payments, employer pension
contributions and the cash equivalent transfer value of pensions. 

The values for the salary component of remuneration for the 25th percentile, median and 75th percentile were £26,751, £37,350 and £42,444 respectively.
Remuneration ranged from £18,000 to £125,000-£130,000 (2020/21 £18,000 to £125,000-£130,000).

The median remuneration of the workforce was 3.39:1 (2020/21, 3.38:1). The figure for 2020/21 has been restated as FTEs for fixed and temporary members of staff covering vacancies within the FSA have been included, which has altered the figure. The change in ratio is due to the median pay for staff decreasing, resulting in the ratio increasing.

Percentage Change in Remuneration (audited)

Reporting bodies are also required to disclose the percentage change from the previous financial year in the:

a. salary and allowances, and
b. performance pay and bonuses 

of the highest paid director and of their employees as a whole.

The percentage changes in respect of the Food Standards Agency for Westminster are shown in the following table. It should be noted that the calculation for the highest paid director is based on the mid-point of the band within which their remuneration fell in each year.

Percentage change for:	2021/22 vs 2020/21
Average employee salary and allowances	0.5%
Highest paid director's salary and allowances	0%
Average employee performance pay and bonuses	-18.5%
Highest paid director's performance pay and bonuses	-20%

FSA Wales (audited)

The banded remuneration of the highest-paid director in the Food Standards Agency for Wales in the financial year 2021/22 was £85,000 – £90,000 (2020/21, £80,000 – £85,000). The relationship between the mid-point of this band and the remuneration of the organisation’s workforce is disclosed below.

2021-22	25th percentile	Median	75th percentile
Total renumeration (£)	30,995	37,662	41,696
Pay ratio	2.82	2.32	2.11

 

2020-21	25th percentile	Median	75th percentile
Total renumeration (£)	31,094	38,025	41,281
Pay ratio	2.65	2.17	2.00

Total remuneration includes salary, non‑consolidated performance-related pay, and benefits-in-kind. It does not include severance payments, employer pension
contributions and the cash equivalent transfer value of pensions. 

The values for the salary component of remuneration for the 25th percentile, median and 75th percentile were £30,350, £37,350 and £40,782 respectively.
Remuneration ranged from £25,000 to £85,000 to £90,000 (2020/21, £18,000 to £80,000 to £85,000). The remuneration range has increased due to the lowest graded staff member within Wales now being an Executive Officer (previously Administrative Officer) regarding the bottom end of the range. The top end of the range has also increased due bonuses paid in 2021/22.

The median remuneration of the workforce was 2.32:1 (2020-21, 2.17:1). The figure for  2020/21 has been restated as FTEs for fixed and temporary members of staff covering vacancies within the FSA have been included, which has altered the figure. The change in ratio is due to the median pay for staff decreasing, resulting in the ratio increasing.

Percentage change in renumeration (audited)

Reporting bodies are also required to disclose the percentage change from the previous financial year in the:

a. salary and allowances, and
b. performance pay and bonuses

of the highest paid director and of their employees as a whole.

The percentage changes in respect of the Food Standards Agency – Wales are shown in the following table. It should be noted that the calculation for the highest paid director is based on the mid-point of the band within which their remuneration fell in each year.

Percentage change for:	2021/22 vs 2020/21
Average employee salary and allowances	2.4%
Highest paid director's salary and allowances	0%
Average employee performance pay and bonuses	-26.3%
Highest paid director's performance pay and bonuses	Not applicable*

*No Performance Pay or Bonuses were paid in 202/21 and so percentage change is not applicable. 

FSA Northern Ireland (audited)

The banded remuneration of the highest-paid director in the Food Standards Agency in the financial year 2021/22 was £105,000 to £110,000 (2020/21, £105,000 to £110,000). The relationship between the mid-point of this band and the remuneration of the organisation’s workforce is disclosed below.

2021-22	25th percentile	Median	75th percentile
Total renumeration (£)	30,492	37,634	39,383
Pay ratio	3.53	2.86	2.73

 

2020-21	25th percentile	Median	75th percentile
Total renumeration (£)	31,194	38,229	39,911
Pay ratio	3.45	2.81	2.69

Total remuneration includes salary, non‑consolidated performance-related pay, and benefits-in-kind. It does not include severance payments, employer pension
contributions and the cash equivalent transfer value of pensions.

The values for the salary component of remuneration for the 25th percentile, median and 75th percentile were £30,350, £37,350 and £38,634 respectively.
Remuneration ranged from £18,000 to £105,000-£110,000 (2020/21, £19,000 to £105,000 to £110,000). The remuneration range has decreased due to interns being taken on within Northern Ireland who are paid at the intern spot rate.

The median remuneration of the workforce was 2.86:1 (2020/21, 2.81:1). The figure for 2020/21 has been restated as FTEs for fixed and temporary members of staff covering vacancies within the FSA have been included, which has altered the figure. The change in ratio is due to the median pay for staff decreasing, resulting in the ratio increasing.

Percentage Change in Remuneration (audited)

Reporting bodies are also required to disclose the percentage change from the previous financial year in the:

a. salary and allowances, and
b. performance pay and bonuses

of the highest paid director and of their employees as a whole.

The percentage changes in respect of the Food Standards Agency are shown in the following table. It should be noted that the calculation for the highest paid director is based on the mid-point of the band within which their remuneration fell in each year.

Percentage change for:	2021/22 vs 2020/21
Average employee salary and allowances	-1.4%
Highest paid director's salary and allowances	0%
Average employee performance pay and bonuses	-49.1%
Highest paid director's performance pay and bonuses	0%

Food Standards Agency Board

2021/22 figures with (2020/21) comparators in brackets

Single total figure of remuneration (audited)

Name	Salary (£000)	Benefits in kind (to nearest £100)	Pensions benefits (£000) (1)	Total (£000)
Professor Susan Jebb OBE, PhD, FRCP (Hon), FMedSci (Chair) from 1 July 2021	50 to 55	-	-	50 to 55
Dr Ruth Hussey CB OBE	25 to 30 (25 to 30)	- (-)	- (-)	25 to 30 (25 to 30)
Colm McKenna	20 to 25 (20 to 25)	- (-)	- (-)	20 to 25 (20 to 25)
Peter Price (from 1 September 2020)	10 to 15 (5 to 10)	- (-)	- (-)	10 to 15 (5 to 10)
Margaret Gilmore	5 to 10 (5 to 10)	- (-)	- (-)	5 to 10 (5 to 10)
Timothy Riley	5 to 10 (5 to 10)	- (-)	- (-)	5 to 10 (5 to 10)
Mark Rolf	5 to 10 (5 to 10)	- (-)	- (-)	5 to 10 (5 to 10)
Fiona Gately (from 1 June 2021) (2)	5 to 10 (-)	-	-	5 to 10 (-)
Lord David Blencathra (from 1 June 2021) (2)	5 to 10 (-)	-	-	5 to 10 (-)
Heather Hancock DL LVO, Chair (to 31 January 2021) (2)	- (55 to 60)	- (-)	- (-)	- (55 to 60)
David Brooks (to 31 March 2021) (2)	- (10 to 15)	- (-)	- (-)	- (10 to 15)
Mary Quicke MBE DL ( to 31 August 2020) (2)	- (0 to 5)	- (-)	- (-)	- (0 to 5)
Stuart Reud CBE (to 31 August 2020) (2)	- (0 to 5)	- (-)	- (-)	- (0 to 5)

Notes

1. No FSA board members are in a pension scheme contributed to by FSA therefore there are no pension costs to report.
2. All starter and leaver salaries are shown for their actual period of employment. The corresponding full year equivalents for 2020/21 was for Heather Hancock DL LVO £65-£70,000, Mary Quicke MBE DL £10k-£15k and for Stuart Reid CBE £10-£15,000. Full year equivalents for 2021/22 was Susan Jebb OBE, PhD, FRCP (Hon), FMedSci £56-£70,000, Fiona Gately £5k-£10k Lord David Blencathra £5-£10,000.

Salary

‘Salary’ includes gross salary; overtime; reserved rights to London weighting or London allowances; recruitment and retention allowances; private office allowances and any other allowance to the extent that it is subject to UK taxation. This report is based on accrued payments made by the Department and thus recorded in these accounts. 

Benefits in Kind 

The monetary value of benefits in kind covers any benefits provided by the employer and treated by HM Revenue and Customs as a taxable emolument.

Bonuses

A Pay Committee is set up each year to assess implementation of pay awards including bonus payments in line with guidance provided by the Cabinet Office. Membership of he Pay Committee is made up of directors and one independent member. Pay recommendations are considered on the basis of review of individual performance against objectives as well as overall consistency.

The Committee provides a breakdown of awards to the Cabinet Office, covering performance group distribution, analysis of bonuses awarded and feedback on the
operation of the system. The bonuses reported in 2021/22 relate to performance in 2020/21 and bonuses reported in 2020/21 relate to performance in 2019/20.

(b) Pension benefits (audited)

Executive Management Team 

2021/22

Name	Role	Accrued pension at pension age as at 31 March 2022 and related lump sum (£5,000)	Real increase in pension and related lump sum at pension age £2,500	CETV at 31 March 2022 (£000)	CETV at 31 March 2021 (£000)	Real increase in CETV (£000)
Emily Miles	Chief Executive (from 23 September 2019)	35 to 40 plus lump sum of 55 to 60	o to 2.5 plus lump sum of 0	534	487	17
Dr Colin Sullivan	Chief Operating Officer (from 3 August 2020)	10 to 15	0 to 2.5	156	128	20
Maria Jennings*	Director of Regulation, Compliance, People and Northern Ireland	55 to 60	0 to 2.5	934	879	5
Julie Kettell (also know as Pierce)	Director of Openness, Digital, Data and Wales	40 to 45	2.5 to 5	748	683	36
Chris Hitchen	Director of Finance and Performance	25 to 30	0 to 2.5	351	332	7
Rebecca Sudworth	Director of Policy	5 to 10	0 to 2.5	98	64	25
Steven Pollock	Director of Strategy, Legal and Governance (from 20 January 2021)	40 to 45 plus a lump sum of 120 to 125	0 to 2.5 plus lump sum of 2.5 to 5	989	948	30
Simon Tunnicliffe	Acting Chief Operating Officer (from 10 December 2021)	0 to 5	0 to 2.5	37	30	6
Craig Thomas	Interim Director of Finance and Performance (from 3 August 2021 to 18 October 2021)	10 to 15	0 to 2.5	117	114	2
Katie Pettifer	Director of Strategy, Legal, Governance and Communications (from 19 July 2021)	35 to 30 plus lump sum of 40 to 45	10 to 12.5 plus lump sum of 2.5 to 5	372	247	25
Pam Beadman	Director Finance and Performance (from 6 September 2021)	30 to 35	0 to 2.5	462	447	-6

Notes

* As Premium PCSPS Scheme members, staff can choose, within a predetermined range, how their accumulated pension benefits are split between lump sum and annual pension.

2020/21

Name	Role	Accrued pension at pension age as at 31 March 2022 and related lump sum (£5,000)	Real increase in pension and related lump sum at pension age £2,500	CETV at 31 March 2022 (£000)	CETV at 31 March 2021 (£000)	Real increase in CETV (£000)
Emily Miles	Chief Executive (from 23 September 2019)	30 to 35 plus lump sum of 50 to 55	2.5 to 5 plus lump sum of 0 to 2.5	487	435	30
Dr Colin Sullivan	Chief Operating Officer (from 3 August 2020)	5 to 10	2.5 to 5	128	88	28
Maria Jennings*	Director of Regulation, Compliance, People and Northern Ireland	50 to 55	2.5 to 5	879	820	27
Julie Kettell (also know as Pierce)	Director of Openness, Digital, Data and Wales	40 to 45	2.5 to 5	683	615	35
Chris Hitchen	Director of Finance and Performance	25 to 30	0 to 2.5	332	294	20
Rebecca Sudworth	Director of Policy	0 to 5	0 to 2.5	64	31	24
Paul Morrison	Director of Strategy, Legal and Governance (from 2 December 2019 to 20 January 2021)	30 to 35 plus a lump sum of 60 to 65	0 to 2.5 plus a lump sum of 0 to 2.5	547	505	21
Steven Pollock	Director of Strategy, Legal and Governance (from 20 January 2021)	40 to 45 plus a lump sum of 115 to 120	0 to 2.5 plus lump sum of 0 to 2.5	948	922	23

Notes

* As Premium PCSPS Scheme members, staff can choose, within a predetermined range, how their accumulated pension benefits are split between lump sum and annual pension.

1 There are no figures reported for Martin Evans as he took retirement upon his original leaving date but stayed on at the FSA and became Acting Chief Operating Officer because of the Pandemic. He did not re-join a pension scheme when delaying his retirement though and so has no pension benefits during the time subject to disclosure.

Civil Service Pensions

Pension benefits are provided through the Civil Service pension arrangements. From 1 April 2015 a new pension scheme for civil servants was introduced – the Civil Servants and Others Pension Scheme or Alpha, which provides benefits on a career average basis with a normal pension age equal to the member’s State Pension Age (or 65 if higher). From that date, all newly appointed civil servants and the majority of those already in service joined Alpha.

Prior to that date, civil servants participated in the Principal Civil Service Pension Scheme (PCSPS). The PCSPS has four sections: 3 providing benefits on a final salary
basis (classic, premium or classic plus) with a normal pension age of 60; and one providing benefits on a whole career basis (nuvos) with a normal pension age of 65.
These statutory arrangements are unfunded with the cost of benefits met by monies voted by Parliament each year. Pensions payable under classic, premium, classic plus, nuvos and alpha are increased annually in line with Pensions Increase legislation. 

Existing members of the PCSPS who were within 10 years of their normal pension age on 1 April 2012 remained in the PCSPS after 1 April 2015. Those who were between 10 years and 13 years and 5 months from their normal pension age on 1 April 2012 switch into alpha sometime between 1 June 2015 and 1 February 2022. Because the Government plans to remove discrimination identified by the courts in the way that the 2015 pension reforms were introduced for some members, it is expected that, in due course, eligible members with relevant service between 1 April 2015 and 31 March 2022 may be entitled to different pension benefits in relation to that period (and this may affect the Cash Equivalent Transfer Values shown in this report – see below). All members who switch to alpha have their PCSPS benefits ‘banked’, with those with earlier benefits in one of the final salary sections of the PCSPS having those benefits based on their final salary when they leave alpha. (The pension figures quoted for officials show pension earned in PCSPS or alpha – as appropriate. Where the official has benefits in both the PCSPS and alpha the figure quoted is the combined value of their benefits in the two schemes.) Members joining from October 2002 may opt for either the appropriate defined benefit arrangement or a defined contribution (money purchase) pension with an employer contribution (partnership pension account). 

Employee contributions are salary-related and range between 4.6% and 8.05% for members of classic, premium, classic plus, nuvos and alpha. Benefits in classic accrue at the rate of 1/80th of final pensionable earnings for each year of service. In addition, a lump sum equivalent to three years initial pension is payable on retirement. For premium, benefits accrue at the rate of 1/60th of final pensionable earnings for each year of service. Unlike classic, there is no automatic lump sum. classic plus is essentially a hybrid with benefits for service before 1 October 2002 calculated broadly as per classic and benefits for service from October 2002 worked out as in premium. In nuvos a member builds up a pension based on his pensionable earnings during their earned pension account is credited with 2.3% of their pensionable earnings in that scheme year and the accrued pension is uprated in line with Pensions Increase legislation. Benefits in alpha build up in a similar way to nuvos, except that the accrual rate in 2.32%. In all cases members may opt to give up (commute) pension for a lump sum up to the limits set by the Finance Act 2004. The partnership pension account is an occupational defined contribution pension arrangement which is part of the Legal & General Mastertrust. The employer makes a basic contribution of between 8% and 14.75% (depending on the age of the member). 

The employee does not have to contribute, but where they do make contributions, the employer will match these up to a limit of 3% of pensionable salary (in addition to the employer’s basic contribution). Employers also contribute a further 0.5% of pensionable salary to cover the cost of centrally-provided risk benefit cover (death in service and ill health retirement).

The accrued pension quoted is the pension the member is entitled to receive when they reach pension age, or immediately on ceasing to be an active member of the scheme if they are already at or over pension age. Pension age is 60 for members of classic, premium and classic plus, 65 for members of nuvos, and the higher of 65 or State Pension Age for members of alpha. (The pension figures quoted for officials show pension earned in PCSPS or alpha – as appropriate. Where the official has benefits in both the PCSPS and alpha the figure quoted is the combined value of their benefits in the two schemes, but note that part of that pension may be payable from different ages.) Further details about the Civil Service pension arrangements can be found on the Civil Service Pensions Scheme website.

Food Standards Agency Board

A number of former FSA Board members benefit from a by-analogy pension scheme similar to the PCSPS. The scheme is now closed to new members and there are no active scheme members.

Cash Equivalent Transfer values

This is the actuarially assessed capitalised value of the pension scheme benefits accrued by a member at a particular point in time. The benefits valued are the member’s accrued benefits and any contingent spouse’s pension payable from the scheme. A CETV is a payment made by a pension scheme or arrangement to secure pension benefits in another pension scheme or arrangement when the member leaves a scheme and chooses to transfer the pension benefits they have accrued in their former scheme.

The pension figures shown relate to the benefits that the individual has accrued as a consequence of their total Ministerial service, not just their current appointment as a Minister. CETVs are calculated in accordance with The Occupational Pension Schemes (Transfer Values) (Amendment) Regulations 2008 and do not take account of any actual or potential reduction to benefits resulting from Lifetime Allowance Tax which may be
due when pension benefits are taken.

Real increase in CCTV

This is the element of the increase in accrued pension funded by the Exchequer. It excludes increases due to inflation and contributions paid by the Minister. It is worked out using common market valuation factors for the start and end of the period.

Back to the Accountability report page.