Bridon (2013) Pension Scheme

Under normal circumstances, the Company does not permit employees to take their pension from the Scheme whilst they are still employed by the Company.

You should complete the Expression of Wish Form which is available on the Forms page.

In accordance with the law, the Trustee of the Scheme has set up a formal procedure to sort out any complaints involving the Scheme.

Although we would hope to be able to resolve any problems without the need to use the official procedure, if you have a dispute that cannot be resolved informally, a link to the formal procedure can be found on the home page. If you have a dispute that cannot be resolved informally, you can use the IDRP procedure.

You are not able to contribute any further to your deferred pension.

You can either leave your preserved benefits within the Scheme until you reach the age at which the benefits can come into payment, or you may have the option to transfer your benefits to another pension arrangement, providing that certain requirements are met. Please note if the value of your benefits is more than £30,000, you will need to take advice from an independent financial adviser to check that the transfer value you are offered represents good value and that the transfer is in your interests. If you are considering transferring your benefits out of the Scheme, please contact the Bridon Administrator for details of the requirements. We would recommend you seek independent financial advice when considering this option as it may not be in your best interest to transfer your benefits.

No, the Bridon Group (2013) Pension Scheme does not accept transfers in.

Whilst you were an active member of the Scheme, you may have paid AVCs to an account held with an insurance company. Historically, Scheme AVC accounts were possible with a number of providers such as Friends Life (now Aviva), Friends Provident, Equitable Life and London Life. You may still receive information from these other providers if you hold an account with them. Your AVC account will continue to be invested until your retirement. If you hold an AVC account, you should currently be receiving a statement of your investments each year.

The Trustee has chosen a range of investment funds to be made available from Aviva. Aviva also allows members to access their fund information online.

 Your choice of investment funds for your AVC account may have a significant impact on the size of the account available to you at retirement. It is therefore important that you regularly review your investment choices and consider the various options available to you.

Please note that neither the Scheme's Trustee nor the Bridon Administrator are able to advise you on the best investment choices for you. If you wish to consult an independent financial adviser (IFA), you can visit https://www.unbiased.co.uk/ for details of how to find an adviser in your area. It is important to check that whoever advises you is qualified and authorised to do so. Visit the Financial Conduct Authority website at https://www.fca.org.uk/register or call their consumer helpline on 0845 606 1234. Please remember that you may have to pay a charge for any advice you receive.

If you die whilst you are still employed by the Company, your beneficiaries may be entitled to a lump sum and your spouse is entitled to a pension (subject to age and existing legislation). If you have joined the FKI Group Pension Plan and subsequently the Bridon Group Pension Plan (with Friends Life) and you remain an active member, the total lump sum payable from these pension schemes will be at least 4 times your basic salary.

If you die after you have left the Company but before retirement your spouse is entitled to a pension (subject to age and existing legislation). Some sections may also pay a lump sum.

If you die in retirement your spouse is entitled to a pension (subject to age and existing legislation). If you die within 5 years of your pension having come into payment, your beneficiaries will receive a lump sum equal to the outstanding balance of the monthly payments up to a maximum of 60 (5 years’ worth of monthly payments).

In all circumstances the Bridon Administrator will write to your beneficiaries advising them of benefits that are payable.

Your GMP is calculated by the Contracted Out Employment Group of the Department for Work and Pensions and is based on your contracted out earnings history between 6 April 1978 and 5 April 1997.

This is the minimum pension that the Scheme must pay you in relation to the period that you were a member of the Scheme between 6 April 1978 and 5 April 1997. It is calculated by reference to the SERPS (State Earnings Related Pension Scheme) entitlement that you would have earned if you had not been a member of the Scheme during the period.

There are a number of elements to consider when explaining pension increases.

Pensions accrued over different periods, are allowed, by law to increase at different rates. There are also different elements to pensions that can accrue different rates of increases. These are:

• Pre 78 Pension is that pension accrued prior to 6 April 1978. This does not have to have any increases applied to it under law.
• Pre 6 April 1988 GMP is the portion of the Guaranteed Minimum Pension that accrued prior to 6 April 1988. This does not have to have any increases applied to it under law.
• Post 5 April 1988 GMP is the portion of the Guaranteed Minimum Pension that accrued between 6 April 1988 and 5 April 1997. By law this must be increased by a minimum of CPI or 3% whichever is lower.
• Pre 6 April 1997 excess pension is the pension in excess of your GMP that accrued prior to 6 April 1997. This does not have to have any increases by the Scheme.
• 6 April 1997 to 31 December 2009 pension is the pension that accrued between 6 April 1997 and 31 December 2009. By law this must be increased by a minimum of CPI or 5% whichever is lower.
• Post 31 December 2009 pension is the pension that accrued between 1 January 2010 and 28 February 2011. By law this must be increased by a minimum of RPI or 2.5%, whichever is lower.

Bridon

The answer to this question depends upon whether you are still working for the Company and whether you are looking to retire early or at your Normal Retirement Date or if you have any AVCs.

If you are looking to retire at your Normal Retirement Date then the Bridon Administrator will write to you six months prior to your retirement date with details of the benefits payable to you.

If you are a Company employee who wishes to leave the Company and retire early, the first thing that you should do is to speak with the Bridon Administrator, who will provide you with details of what your benefits would be at your chosen retirement date.

If you are a deferred member wishing to take early retirement, you should contact the Bridon Administrator directly and they will advise you of the benefits that are payable at your chosen retirement date.

In all cases there are a number of forms that are required to be completed by you before benefits can be put into place but the intention would always be to pay your pension from the date that it is due (which may not always be your chosen retirement date). If payment is made late, any arrears due will be paid with the first payment.

For details on how your pension will increase see How does my pension increase once in payment?

Please note that if you paid Additional Voluntary Contributions there may be some delay in releasing benefits from these as the money will need to be disinvested before any retirement payments are possible. The Bridon Administrator will always look to minimise these delays.

There may be an option to take a tax free lump sum when you retire (subject to existing legislation). The decision to take a lump sum might depend upon your personal circumstances and you should take advice if you are unclear as to the option that might be best for you.

Not all members can take a lump sum on retirement as certain restrictions may apply. If your benefits are restricted the Bridon Administrator will notify you of this at the time.

In general, if at the time of your death you are still legally married, your spouse or Civil Partner will automatically become entitled to a pension from the Scheme.