Clarification of exit charges from Teachers’ Pension Scheme (TPS)

On 4 May 2022 the TPS published on their website under the heading Latest News a brief note titled ‘Contribution rate and exit charges (Independent Schools)’. A link is included here.

The note is said to have been prompted by a request from employers (independent schools) on common misconceptions in the sector. It says that at this time it is impossible to know what the results of the 2020 scheme valuation will be, whether that is a rise or a drop. They expect confirmation in late 2023.

The TPS also clarify that there is no exit charge for schools that wish to leave the TPS and there are no plans to introduce one.