This note is provided for the Scottish Public Pensions Agency (SPPA) as scheme manager of the Scottish Teachers' Pension Scheme (STPS).

The Public Sector Transfer Club: Memorandum by the Cabinet Office issued in April 2019 ("the Club memorandum") sets out how pension credits should be calculated for "inner Club" transfers. Using this approach, an adjustment is made to the member's transferring pension if the pension is payable from a different age or if there is a different spouse's proportion in the sending scheme than in STPS. For inner Club transfers SPPA have decided that a further adjustment will be required to reflect the more generous early retirement terms that apply in STPS. This note sets out the additional adjustment to apply to determine the amount of club transfer earned pension in STPS.

This note should be used in combination with the approach set out in the Club memorandum.

Details on how the adjustment factor should be applied can be found in the Calculation of the club transfer earned pension amount section.

The following changes have been made when reviewing this guidance:

• Important information around the expected audience for the guidance, use of the guidance, review of factors, compliance and limitations applies across all sets of guidance. Rather than being repeated in each set of guidance, this can now be found on the scheme home page. It is important to read this information alongside the guidance.
• Calculation methodology: No changes have been made to the calculation methodology.
• Examples: There are no examples in this guidance. Worked examples, using the calculation methodology, can be found in prior versions of the guidance (though please note that these use historical factors).
• Factor tables: The "Factor Tables" tab contains the names of the tables that are referenced in the calculation methodology. The tables of factors themselves can be found in the most recently published "Consolidated Factors Workbook" which is available by clicking the "Download current Consolidated Factors Workbook" button on the scheme's home page.
• Assumptions: The key assumptions underlying the factors in each note are contained in the Consolidated Factors Workbook.
• Regulations: The regulations that require the production of the actuarial factors and/or guidance that is the subject of this note are summarised in the "Regulations" tab.

SPPA have advised that this note does not apply to inner Club transfers in from the Teachers' Pension Scheme (England & Wales) or the Northern Ireland Teachers' Pension Scheme.

A separate guidance document covers inner Club transfers out of the STPS.