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If you claim your pension before your Normal Pension Age (NPA), it will be reduced. ERRBO is where you or your employer can pay extra contributions so you can take your 2015 Scheme benefits at an unreduced level before you reach your NPA.

NPA for the 2015 Scheme is your State Pension Age or age 65 if that is later.

You cannot buy an ERRBO that would:

  • reduce your NPA by more than 3 years
  • give you a retirement age of less than age 65.

If you’ve already taken out an Additional Pension (AP) contract, your ERRBO will be restricted. The increase to your pension through AP and ERRBO cannot be more than the permitted level. This will be checked on receipt of your application.

The cost of an ERRBO depends on:

  • your age in complete years at the day before the date of the agreement
  • the number of years reduction the agreement is for.

You can check the rate of extra percentage contributions payable each year that’s in addition to your normal tiered contributions on the ERRBO factsheet.

An expression of interest for ERRBO must be made within 3 months of:

  • joining the 2015 Scheme for it to be effective from your first Scheme year
  • the beginning of any Scheme year for it to be effective from that year.

Any application made after 3 months will only be effective from the beginning of the following Scheme year.

Previous scheme years are not protected by ERRBO and will be subject to a reduction for early payment if the pension is claimed before your NPA.

You must start paying the contributions within 2 months of the application being accepted unless this is delayed to the next scheme year.

Once an agreement is in place it will automatically carry on for each Scheme year until it ends.

If you have a break in pensionable service of 5 years or less, an ERRBO will automatically start again on the same basis that was previously agreed.

If there’s a break in pensionable service of more than 5 years, the ERRBO is cancelled. The pension built up during the payment period of the ERRBO keeps the reduced retirement age.

If you die before retirement, your ERRBO will not have any value as any adult dependant’s benefits are paid unreduced.

Applying for ERRBO

Complete an expression of interest form (ERRBO1) and send this to us. 

We’ll issue you with a quotation (ERRBO2) within 20 working days.

If you want to go ahead with the agreement, complete an application for agreement form (ERRBO3). Forward this with a copy of the quotation to your NHS employer.

If you have more than one NHS employer, send these to all employers who you’re currently paying pension contributions with.

ERRBO payments

The cost is reviewed by the Scheme Actuary and could change.

If the cost increases, you and your employer will be sent a letter showing the new costs. You’ll be given the option to end your ERRBO. The pension built up during the payment period will keep the reduced retirement age.

If you want to cancel your ERRBO and have paid contributions for less than one year, the additional contributions will be refunded.

You cannot start a new ERRBO once cancelled.

To cancel, suspend or increase your contributions, complete the Request to Suspend, Terminate or Vary an ERRBO Agreement.