Solving the case of the pensions crisis

Published on Thursday 28 August 2008 22:05

INSIDE THE POLICE

THE bobbies at Craigmillar police station have had plenty of tough cases to crack in their time. But a complex inquiry of a completely different kind is set to be discussed today at the Edinburgh "cop shop".

The investigation will look at how to ensure the future strength of Scotland's police service, when record numbers of retiring officers threaten to undermine efforts to boost bobbies on the beat.

A key witness is expected to attend the police station to give a statement on the matter. His name? Kenny MacAskill.

The visit by the justice secretary coincides with the publication of quarterly figures on police numbers. There are currently about 16,200 officers in Scotland, compared with 15,000 in 2001. The SNP government wants to increase the figure by a further 1,000 and has pledged 94 million to make it so. But there has been a barrage of criticism that the SNP is reneging on its commitment to swell police ranks.

The fact is, chief constables have signed up to spending the 94 million on an extra 1,000 officers. But it appears unlikely this will result any time soon in a 17,200-strong police service.

While the government is committed to the pledge to pay for extra officers, it has been far more equivocal in its approach to meeting the soaring pensions bill that comes with the retirement wave.

Ministers and officials have so far refused to accept responsibility for finding the extra 145 million needed over the next three years to meet the growing police pensions bill.

But police board conveners say that if the money isn't found from central coffers, then force budgets will be hit – meaning the recruitment of officers to replace retiring colleagues may well be cut.

The Scotsman understands a light may be appearing on the horizon that could just prevent Mr MacAskill being convicted of breaking an election promise.

It appears increasingly likely that police pension funds will be transferred from individual police boards to a centralised pot. This would insulate individual forces from the volatility that comes with unexpectedly high numbers of retiring officers.

Officials from the local-authority group Cosla and the Scottish Government are looking at the viability of such a move, which would replicate the system south of the Border.

The Treasury has hinted that, if this happens, it will send an extra few million Scotland's way to ease the pensions crisis.

And a well-placed source has suggested an agreement in principle on a centralised pensions fund – for which police board conveners publicly called this week – could lead to a deal that will see the government and local authorities find the cash to fill the remaining pensions hole.