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Hampshire Pension Services

Administering the Local Government Pension Scheme, Police and Fire schemes

How can I increase my pension benefits?

There are a two ways you can increase your retirement benefits within the Local Government Pension Scheme (LGPS):

Additional Pension Contributions (APCs) - Regular contributions or lump sum payments to buy extra amounts of pension (Up to a maximum of £6,822)

Additional Voluntary Contributions (AVCs) - Pay additional contributions to buy an annuity, increase your tax-free lump sum or both

Making contributions into pension saving can be a cost effective way of increasing your retirement benefits as they qualify for immediate tax-relief through your employer’s PAYE system.

Additional Pensions Contributions (APCs)

You can buy extra pension by paying APCs regularly over a period of time, or you can pay for additional pension as a one-off lump sum. The maximum amount of additional pension you can buy from April 2018 is £6,822 (this figure will increase each year in line with the cost of living).

How much you pay will depend on:

  • your gender
  • your age when you start paying the additional contributions
  • how much extra pension you want to buy

In the new scheme you can only buy extra pension for yourself and not for additional dependants benefits.

You can use the attached modeller to calculate the cost of buying additional pension over a chosen period depending on your age; at the date contributions would begin.  If you decide to proceed, the modeller will also provide a link to the application form, which should be passed to your employer.

APC payments are deducted from your pay in the same way as your normal LGPS contributions.

Additional Voluntary Contributions (AVCs)

You can pay AVCs into one of our in-house schemes by deduction from your pay. From 1April 2014 your contributions to an AVC arrangement will no longer be limited to 50% of your pay, so you can, if you wish, pay up to 100% of your pay towards an AVC, after allowing for any tax and National Insurance liability or any other existing deductions you may have.

Please check first with your employer that they provide this investment opportunity.

When you retire, you can use your AVC fund to buy an annuity, increase your tax-free lump sum or both!

AVCs are managed by external providers.  The current in-house providers you can choose from are Zurich and Prudential Each year you will receive an AVC annual benefit statement from the company you choose.




Information about which Zurich funds are available to you can be found in the Zurich’s starter pack.

Not all Zurich funds are available to members of the Hampshire Pension Fund, you should discuss your options directly with Zurich.


Please check with Zurich.

  • We are not aware of an exit charge, but you should check.
  • Other charges may apply

Please check with Prudential

  • Exit charges apply for funds withdrawn within 5 years of your first contribution.
  • Other charges may apply

How to apply

You should refer to Zurich's starter pack. It includes an application form for you to complete and send to your employer

Email or post application form,

alternatively you can phone to apply

Contact details

Phone: 0800 015 0617

Zurich website

Phone: 0800 731 0433, quote AVCSF

Prudential AVC Calculator

The value of your investment may go down as well as up and the fund value in the future may be less than the payments you have made.