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Public Sector Pensions Under Fire: Calls for Reform Spark Debate

11/8/2025

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Summary

Story summary

Public sector pensions account for a sizable share of remuneration, with employer contributions around 25%.
Public sector pay growth has lagged inflation and private sector wages.
Richard Tice, deputy leader of Reform UK, proposed reviewing defined benefit schemes, calling them unsustainable.
Prospect criticized the plan as irresponsible, warning it could create a two-tier system and harm recruitment.

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Story summary

Public sector pensions account for a sizable share of remuneration, with employer contributions around 25%.
Public sector pay growth has lagged inflation and private sector wages.
Richard Tice, deputy leader of Reform UK, proposed reviewing defined benefit schemes, calling them unsustainable.
Prospect criticized the plan as irresponsible, warning it could create a two-tier system and harm recruitment.