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GMP reconciliation was a data reconciliation exercise completed in 2021 by public sector pension schemes and HM Revenue and Customs (HMRC).

This exercise allowed schemes and HMRC to compare contracted out records for members who reached their state pension age before April 2016. 

The reconciliation exercise has identified cases where the GMP details held by the scheme was incorrect.

Where this reconciliation has found that we did not have the correct GMP for the member we have revised the gross annual rate of pension in payment for members.

How will I know if this affects me?

NHS Pensions will write to you directly if you have been affected with details of any changes to your rate of pension.

If your pension has increased, we will also pay you any arrears owed.

If your rate of pension has reduced, you will not need to repay the overpaid amounts.

Why has my annual pension changed?

For scheme members who reached state pension age before 2016 the annual indexation on a GMP is paid by either the Department of Work and Pensions (DWP) or a combination of DWP and the member’s occupational scheme.

If we did not hold the correct details for your GMP there will be an error on the annual indexation applied in the first year the GMP was applied.

This was then compounded in each further annual indexation.

This has now been corrected and where necessary we have revised the rate of pension for the members affected. 

Could this happen again?

No, since April 2016 schemes have been paying the full indexation for members who reach State Pension Age so there will be no duplication of GMP indexation for these members.

Read more about Guaranteed Minimum Pension on our website.