Retiring

When can I draw my pension?

You may retire and draw your pension immediately any time once you reach your Pension Age. You may delay the date your pension starts provided you give the Trustee written notice that you want to do so before you retire from your employment.

You may retire and draw your pension earlier than your Pension Age provided you have reached your Minimum Pension Age however your pension will be reduced to reflect the early payment.

You cannot draw your pension before your Minimum Pension Age unless you’re in ill health.

Note that for most members their Minimum Pension Age is 55 but will increase to 57 from 6 April 2028, unless you have a Protected Pension Age.

When you draw your pension your retirement Lump Sum will also be paid.

What happens if I become too ill to work?

If you have at least two years of Qualifying Service and leave your employment before your Pension Age, and in the Trustee’s opinion, based on the advice of the Plan’s medical adviser you’re entitled to retire on Medical Grounds (and your membership of the Plan is not subject to any medical restrictions), the Plan may pay you an immediate CARE pension, a Final Salary pension (of 1/80^th of Pensionable Final Earnings) and Lump Sum (if applicable – of 3/80^th of Pensionable Final Earnings) before your Pension Age. These are the normal retirement benefits but based on Pensionable Earnings and Reckonable Service at the date of leaving.

In cases of serious ill health (if you are medically assessed with a life expectancy of less than 12 months) you may be able to exchange your pension for a Lump Sum equal to five times your annual ill-health pension.

Ill-health service enhancement

If you are an active member and have completed 5 years of Qualifying Service, you may also receive an ill-health service enhancement to your pension and Lump Sum benefit (if applicable). The ill-health service enhancement is calculated by multiplying the average amount of the CARE pension you have earned each CARE Year by the number of years in the following table.

Completed years of total Reckonable Service at date of leaving service	Number of years enhancement to CARE pension
5 to 10 years	The number of years required to increase your Reckonable Service to your total Reckonable Service multiplied by two, minus your CPS Reckonable Service
10 to 13 and 1/3 years	The period necessary to make your total Reckonable Service up to 20 years
More than 13 and 1/3 years	6 and 2/3 years

If you have paid extra contributions to qualify early for your ill-health benefits, and have completed less than five years’ Qualifying Service, your benefits will be calculated on the basis that you have completed five years’ Reckonable Service.

The years of enhancement cannot be more than that which you would have earned if you’d worked until age 65 or in some cases your Pension Age.

If you’re on a fixed term contract, then Reckonable Service is increased by the remaining term of your contract.

Note that if you have less than two years’ Qualifying Service you will be entitled to a refund of your contributions only, instead of a pension.

No enhancement to your pension would be paid if you have already left the Plan.

Can I carry on working after my Pension Age?

If you carry on in employment after your Pension Age you will continue to build up pension but will be required to pay contributions. Your benefits will come into payment immediately on leaving employment unless you give the Trustee written notice that you want to delay the date your pension start date.

How do you pay my pension?

Your pension is paid into your bank or building society account every month. Income tax will be deducted in line with applicable tax rules.

Will you increase my pension whilst in payment?

Once you are receiving your pension, your pension will increase every year in April by reference to inflation measured over the 12-month period ending in the previous September. For your CARE pension the inflation measure is CPI and for your Final Salary pension RPI will be used.

What if I have only built up a small amount of benefits?

If you have only built up a small amount of benefits these can be paid as a Trivial Commutation Lump Sum. The government sets strict rules about who can trivially commute their pension and it is generally only available for small pension pots. The amount of Trivial Commutation Lump Sum you would receive is determined by the Trustee on advice of the Plan’s actuary.