Lump sum death grant if you die in service

Amount

A non taxable lump sum death grant of 3 times your annual assumed pensionable pay is paid no matter how long you have been a member of the Local Government Pension Scheme (LGPS), provided you are under age 75 at the date of death.

Who receives payment

As the administering authority, the Pension Section has absolute discretion over who receives any lump sum death grant but it is helpful if you let us know your wishes. Complete an Expression of wish for payment of death grant form. Please remember to complete a new form if your wishes change.

If any part of the death grant has not been paid within 2 years, it must be paid to your personal representatives which is your Estate.

If you are a current member and have a deferred pension or another pension in payment from the scheme, only one death grant lump sum is payable. The highest is paid.

Other benefits that may be payable

A survivor's pension and children's pension may also be payable on your death.

Find out about what happens on your death if you paid extra contributions

HMRC tax free limits

HMRC limits the total value of tax-free benefits that can be paid in respect of an individual.

This limit applies to an individual’s total pension savings across all schemes.

To enable a lump sum death grant to be paid tax-free, the individual must have available scope within their Lump Sum and Death Benefit Allowance (LSDBA). This must be assessed by whoever is dealing with the member’s estate after they die.

Find out about lump sum tax free allowances