Welsh Government requests pension estimates from FRAs

The Welsh Government has issued a circular requesting Fire and Rescue Authorities (FRAs) in Wales to submit completed pension forms for the 2025-26 financial year.

Authorities are required to confirm or amend the pension estimates already provided and submit unaudited and audited pension fund information. The deadline for submission is 17 March 2025.

The information collected will be used to determine the final top-up grant payments for firefighter pensions. These grants cover any shortfalls between contributions made by employees and employers and the actual pension payments required.

Breakdown of top-up grant payments

The top-up grant funding is based on pension income and expenditure estimates submitted by FRAs.

For the 2025-26 financial year, FRAs will receive 80% of the estimated top-up grant requirement. The final amount will be adjusted based on actual expenditure.

The funding also includes any remaining top-up payments for the 2024-25 financial year and an adjustment for differences in unaudited and audited pension fund data from 2023-24.

If an FRA has a surplus from 2024-25, this will be deducted from its 2025-26 top-up grant.

Guidance on completing pension returns

FRAs are required to submit financial returns detailing final unaudited pension fund data for 2024-25, final audited data for 2023-24, and estimates for 2025-26 onwards.

Authorities must consider local workforce planning when estimating retirements, new entrants, and other staff movements.

The Office for Budget Responsibility (OBR) has provided planning assumptions for pensionable pay increases, with an expected rise of 2.4% in 2025-26.

Estimates must use an assumed employer contribution rate of 31%, based on the final 2020 valuation report.

Deadline and submission requirements

FRAs must submit completed pension forms (FPF1, FPF2, and FPF3) by 17 March 2025.

Forms should be returned electronically to [email protected] with a signed copy included. The Welsh Government will contact FRAs separately to confirm grant calculations and proposed payments.

The circular was issued by Steffan Herdman of the Fire Services Branch at the Welsh Government.

Firefighter pension funding: Welsh Government issues top-up grant forms for 2025-26 – Summary

The Welsh Government has requested Fire and Rescue Authorities in Wales to submit pension estimates for the 2025-26 financial year. The data collected will inform the allocation of firefighter pension top-up grants.

The funding process ensures that shortfalls between pension contributions and payments are covered. FRAs will receive 80% of their estimated requirement for 2025-26, with adjustments made based on actual expenditure.

Authorities must submit unaudited and audited pension fund data for previous years and confirm or amend their estimates for the coming financial year.

The deadline for submission is 17 March 2025. Forms must be sent electronically to the Welsh Government, with signed copies included.