You can return to work in the NHS after you've taken your pension. If you chose to, you can rejoin the NHS Pension Scheme and build up pension benefits in the 2015 Scheme up to the maximum pension age limit of 75.
Read the information and factsheets to find out more about:
- the rules around returning to work in the NHS
- who you need to inform if you are returning to NHS employment
- if there may be an impact if you decide to return to work
Download the video transcript (Word: 258KB)
Removing the 16-hour rule
Under the changes being introduced from 1 April 2023, if you decide to re-join the NHS, you’ll be able to work as many hours as you choose straightaway.
Up to 1 April 2023, 1995 Section rules have limited members to working 16 hours a week in the first month after retirement to avoid their pension payments being affected.
This rule has been temporarily suspended between 25 March 2020 to 31 March 2023 and the DHSC is now permanently removing this rule from 1 April 2023. This will mean that, as long as you’ve had a break of 24 hours from your previous job, you’ll be able to move to a new employment contract and start building 2015 benefits immediately.
As the DHSC is removing the 16-hour rule, they’re also changing the 1995 Section regulations to remove the 16-hour rule for members with more than one employment. Members with more than one employment will need to take a 24 hour break from all employments to be able to claim their pension.
Your pension after returning to work (abatement)
In broad terms the regulations do not permit a pensioner to receive more in pension and re-employed salary than the salary earned before retirement. This is known as an earnings margin.
If this earnings margin is exceeded, the annual pension will be reduced. This is known as abatement.
In March 2020, the Department of Health and Social Care (DHSC) suspended abatement for members who have Special Class (SC) and Mental Health Officer (MHO) status and claim age retirement pension benefits before age 60. Abatement rules end once you have reached your normal pension age of the Section or Scheme from which you have claimed your pension benefits.
From 1 April 2024, the abatement rule was then removed for these members. This means if you are a Special Class or Mental Health Officer member and taken age retirement benefits, you will be able to return to NHS employment or increase your working commitments without having your pension payments reduced.
If you are over the normal pension age (60 for 1995 Section members, 65 for 2008 Section members and State Pension Age or age 65, if later, for 2015 Scheme members) then your pension will not be affected if you return to work in the NHS.
Your benefits will also not be affected if you retired before the normal pension age and
- you are in receipt of redundancy benefits and retired on or after 1 October 2011. This is because the unreduced element of your pension has been funded using some or all of your redundancy compensation lump sum.
- you are in receipt of actuarially reduced early retirement benefits. This is because you have funded the early payment of your benefits by the actuarial reduction.
In all other types of early retirement, including ‘retirement in the interest of efficiency of the service’, your pension may be affected.
If you've already retired with 1995 Section benefits and returned to work before 1 April 2023
If you’ve already retired and taken your 1995 Section benefits and then returned to NHS work, you will be able to join the 2015 Scheme and build up further pension from 1 April 2023.
Before the changes take effect on 1 April 2023, you'll have previously been unable to build up further benefits in the 2015 Scheme. As a result, you may have an alternative pension arrangement, for example, the National Employment Savings Trust (NEST), or you may not be contributing to a pension scheme.
If you’re newly eligible to join the 2015 Scheme on 1 April 2023, your employer will not be required to enrol you into the scheme. They must however notify all staff, who have taken their benefits from the 1995 Section and returned to work before 1 April 2023, that they are eligible to join the 2015 Scheme from 1 April 2023 if they wish.
If you're newly eligible to join the 2015 Scheme from 1 April 2023 and wish to take up the option, your employer must set up membership for you and may need to end any alternative pension arrangement you have.
If you choose to end your membership to an alternative pension arrangement, for example NEST, and join the 2015 Scheme, you may be able to transfer your benefits from the alternative pension arrangement into the 2015 Scheme. You have 12 months to transfer your benefits after becoming eligible to join the Scheme and must do so before your normal pension age.
You can find more information on our transferring into the scheme webpage.
Who you need to inform if you are returning to NHS employment
In all circumstances you must remember to tell your new employer that you are in receipt of NHS Pension Scheme benefits and also notify us that you have returned to NHS employment.
Factsheets
Read our returning to work factsheets for more information on returning to work after retirement or ill health retirement.
Returning to work following ill health retirement (PDF: 137KB)1995 Section - Death on re-employment (PDF: 163KB)
Forms you may need