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Pensions tax impacts on the NHS: a solution for 2019/20

22 Nov 2019

Further to conversations with NHS England earlier this week, we welcomed reports that a temporary resolution had been found to the NHS pensions 'tax trap’. This applies only to the current financial year, removing financial penalties for surgeons who help with Waiting Times Initiatives.

Today Simon Stevens, NHS England Chief Executive wrote to RCS President Professor Derek Alderson confirming the proposal.

Further details can be found on the NHS England website, including FAQs for staff. We recommend that you read these FAQs closely and seek professional advice if you need to. We would welcome members and fellows’ feedback by email.

This announcement comes in response to evidence from the RCS and other healthcare bodies, of the impact of the crisis on patients and waiting lists.  Our October member survey found that 69% of consultant surgeons had reduced the amount of time they spent working in the NHS as a direct result of changes to pension taxation rules. We urged the government to act fast to resolve the issue.

The new pensions proposal only applies to the current tax year 2019/20. In line with our Manifesto for Surgery for the 2019 General Election, we will continue to call for a permanent solution. We have written to all party leaders urging them to address this urgently, as soon as parliament reconvenes.

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