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How the Scheme works

As a member of the DB Section, your retirement benefits are determined by the length of your Pensionable Service and your Final Pensionable Earnings.

If you start receiving your pension from your Normal Retirement Date, it will be equal to 1/60th of your Final Pensionable Earnings for each year of Pensionable Service. Some members may accrue a different amount of pension, particularly those who joined the Company before April 1986.

Accrual rate x Final Pensionable Earnings x Pensionable Service = Pension for life

The calculation of your pension will be different if you:

  • Start receiving it at a date other than your Normal Retirement Date;
  • Have worked part-time for some, or all, of your Pensionable Service;
  • Had any periods of unpaid leave or absence; or
  • Transferred benefits into the Scheme

You do not have an individual investment fund. Instead, all assets relating to the DB Section are collectively invested by the Trustee and used to provide benefits to members as required by the Trust Deed and Rules, the legal document governing the Scheme.

You can find more information about how your pension is calculated in the ‘Member Booklet’ which you can download from the Document library.