Phase one changes relating to the Access and Fairness consultation will be introduced in April 2026, and phase two later in the year.
There are some changes, particularly regarding measures to address the gender pensions gap, that will affect payroll teams. The changes include:
- making authorised absences of less than 15 days automatically pensionable
- aligning the cost of buying back lost pension for authorised absences of over 14 days with the standard member contribution rates
- extending the time limit for electing to buy back lost pension from 30 days to 12 months, as long as the member is in the same employment
- allowing an employer to pay their share of contributions relating to an unpaid period of more than three years
- updating the definition of child-related leave to include all periods of additional maternity, adoption and shared parental leave without pay
We are still awaiting guidance from central government on how to implement these new requirements.