At a glance: Pensions review

Teachers are among those whose pensions have been reviewed

Nurses, teachers, local government staff and other public sector workers should pay more into their pension pots, a major review has suggested.

Lord Hutton has published his initial findings in a review of how to cut the rising cost of public sector pension schemes.

Here are the key points from the interim report:

• There are 12 million people - one in five of the UK population - who are active, deferred, or pensioner members of public sector schemes

• The life expectancy of a 60-year-old is 28 years, compared with 18 years in the early 1970s

• About 85% of public sector employees have some form of employer-sponsored pension compared with about 35% in the private sector

• In the 10 years from 1999-2009, the value of benefits paid from the five largest public service pension schemes increased by 32%

• To start covering the increased cost, public sector workers should pay bigger contributions into a pension scheme - although the exact amount is a decision for Parliament

• Final-salary schemes mean high-flyers get almost twice as much back in pensions than those on more modest earnings for the same amount of pension contributions

• In the long-term, pensions should be changed from final-salary, possibly to career average

• Public sector workers should work longer, as life expectancy increases

• The Dutch and Swedish systems should be considered as models

• Some changes that have already been made are drastically reducing long-term costs

• Many schemes have already put up the pension age for new recruits from 60 to 65

• The average public sector pension in payment is £7,800 a year