What happens if I leave?

If you leave the Scheme either by opting out or by leaving the Company you have two options:

  1. Keep your right to a Scheme pension payable at normal pension age. The pension you leave in the Scheme is known as a deferred pension. It is calculated in the same way as if you had kept paying in to the Scheme until normal pension age, but based on your pensionable salary and pensionable service at the date you leave the Scheme. Any Added Years and service credits from a transfer into the Scheme will be included. The Scheme will increase your deferred pension each year until it comes into payment. You will receive your deferred pension from your normal pension age. You may, with the Trustee's consent, request to retire before your normal pension age in which case it will be reduced for early payment.

    Please note that if you opt-out of the Scheme and you meet automatic enrolment criteria, you will be automatically enrolled into the Iberdrola Group UK Stakeholder Pension Plan with Fidelity. 

  2. Transfer the cash value of your deferred pension to another pension arrangement. You can do this at any time and move your benefits to a new employer’s scheme or a suitable individual pension arrangement. The Scheme Actuary sets how the cash equivalent transfer value of your deferred pension is calculated. This is the estimated value of your benefits taking into account the guaranteed increases before you retire and after the pension starts. You can obtain an illustrative transfer value by logging into Mercer's online member portal, www.benpal.com (If you require log in details, you can request these by contacting the Mercer helpline numbers). For some members, due to complexities in the way your benefits are calculated, you will be unable to view illustrative figures on Benpal. If this is the case, you should contact the pension scheme administrator, Mercer, to request a transfer value quotation.
    If you require a guaranteed transfer value quotation, you should contact the pension scheme administrator to request this.

Transferring pension benefits from one arrangement to another is complicated and it is important that you take independent financial advice before deciding to make any pension transfer to ensure that it is in your best interests. If your benefits are valued at more than £30,000, you will need to take independent financial advice before you can transfer them.

Think carefully!

Membership is voluntary - you can choose to leave the Scheme at any time as long as you give the pension scheme administrator at least two months’ notice. But please think carefully! You will have to make your own pension arrangements or rely on the State. It is really important to take independent financial advice if you are thinking about opting out or transferring your deferred pension elsewhere. You will not be able to re-join the Scheme, or transfer your benefits back into it once you leave.

If you want to opt out

If you do decide to opt out of the Scheme you must notify the pension scheme administrator who will issue the appropriate Notice for completion and return. You must give at least two complete calendar months’ notice of your intention to opt out of the Scheme.

For more information about opting out and transferring  please refer to the Transfer Value Policy Statement.