Additional voluntary contributions

What are Additional voluntary contributions (AVCs)?

AVCs let you invest money in the stock market, directly from your pay through an external provider to boost your LGPS pension.

You can set up an AVC with either:

Prudential – Cambridgeshire Pension Fund and Northamptonshire Pension Fund

Standard Life  – Northamptonshire Pension Fund only.

Please contact them to discuss the range of funds available to you.

You can buy AVCs if you’re in the main section or 50/50 section of the LGPS.

When you pay AVC’s, you build up a pot of money to top up your LGPS benefits. Contributions towards AVCs are taken directly from your pay before your tax is worked out so if you pay tax, you receive tax relief automatically.

You can pay up to 100% of your pensionable pay into an AVC.

Review of AVC arrangements

The administering authority of each Fund regularly reviews their AVC arrangements to ensure they remain fit for purpose. The administering authorities investment advisers carried out the most recent review. The review did not raise any concerns on the suitability of the current AVC arrangements. However, our advisors did comment on the performance of some of the fund’s members invest in.

For more information on the results of the review please read the appropriate communications for your Fund

Cambridgeshire Pension Fund AVC member communication 2024

Northampton Pension Fund AVC member communication 2024

You can find out more information about AVC’s in the LGPS guide to AVCs.