Retirement in the IOE is when a member is no longer capable of giving NHS service.
This could be because of either:
- new or expanded duties
- a decline in their ability to perform existing duties efficiently, but they do not qualify for ill health retirement.
If a member retires on these terms, they can take their pension before Normal Pension Age (NPA) without any reduction.
Retirement in the IOE is available at an employer's discretion. Employer’s are expected to consider alternatives before agreeing to this type of early retirement.
It’s not available to members employed in GP Practices or out of hour providers.
If you have further questions on IOE, speak to your employer.
Minimum Pension Age
To be retired in the IOE, a member must have reached their minimum pension age.
1995 Section
The member must be age 50.
If they joined the scheme for the first time on or after 6 April 2006, they must be age 55.
A protected minimum pension age will apply to :
- all active members on 5 April 2006
- deferred members on 5 April 2006 who left on or after 31 March 2000
- members who were part of a bulk transfer into the NHS Pension Scheme on or after 6 April 2006 and who qualified for a minimum pension age of 50 in the sending scheme.
2008 Section and 2015 Scheme
The member must be age 55.
Cost of claiming
The cost of claiming on IOE is called the ‘Capitalised Cost’.
This is the cost to buy out the reduction that would apply if you were to claim your pension on Actuarially Reduced Early Retirement (ARER).
This is paid to NHS Pensions by your employer as a one-off payment.