Teachers reach settlement with Department for Education over pension value delays

Represented by law firm Leigh Day, the teachers argued they had been left in “prolonged uncertainty and distress” after waiting months for legally required Cash Equivalent Transfer Values (CETVs) and other entitlement information.

A CETV is required to determine the value of a pension pot.

The law firm noted: “Without this information, it is almost impossible to effectively plan for retirement, or reach a financial settlement in divorce proceedings.”

The legal claim was supported by NASUWT, the teachers’ union.

In 2025, lawyers from Leigh Day wrote to the DfE setting out the position of NASUWT members, giving the department a grace period of six months to address the issues before filing claims on behalf of members in January 2026.

Teachers bringing the claim argued that the DfE “failed in its statutory duties” and left its members “in limbo”, despite repeated warnings and opportunities to resolve the matter without court involvement.

According to Leigh Day, the DfE has now agreed to provide compensation to affected teachers, and issue all outstanding CETVs. The settlement was reached out of court.

Leigh Day partner Ryan Bradshaw, who represents the teachers, said: “We are delighted to have secured an amicable settlement on behalf of our clients, which would not been possible without the support of their workplace union. It is a shame that we were required to issue claims in order to ensure our clients obtained the compensation they were entitled to."

NASUWT General Secretary Matt Wrack said: “We gave the DfE ample time and opportunity to resolve this matter but their failure to address this satisfactorily left us with no choice but to take legal action.

“Our members have won justice and this is a clear and important victory for teachers who were badly let down.

“They were left feeling distressed and suffered financial harm because the DfE failed to meet its legal duties. Teachers who had paid into their pensions in good faith had every right to expect the Teachers' Pension Scheme to be there for them when they needed it.

“This result has also set a precedent that will protect thousands of teachers in the future. This victory shows that when teachers are treated unfairly the NASUWT will take action and we will win for them.”

The Department for Education has been approached for comment.

Lottie Winson