6. Existing Pensioners
- Q6-1. I am a retired pensioner (over NPA) and my last pension statement referred to a number of elements of my pension e.g. GMP before and after April 1988, pension built up before and after April 1997, AVC pension, sacrifice pension, non-increasing elements, etc. Are they all treated the same under PPF rules and will there be any changes to my state pension which has reductions because I was ‘contracted out’ while at Nortel?
- The impact on AVCs and sacrifice pension is dealt with in Q4-3. Non-increasing elements will remain unchanged. The remainder of the elements will continue to be paid in full (because you were over NPA) and increases will be as set out in Q2-7. Your state pension will continue to be paid as normal and changes to your Plan pension described in this Q&A will not lead to a reduction of any state pension benefits you may be entitled to. Please also refer to Q8-19 for further details on the GMP element.
- Q6-2. Will my pension still be paid on the same day during assessment?
- Historically, member pensions for each month were paid on or immediately before 18th of each month – being two weeks in advance and two weeks in arrears. As required by PPF procedures, from April 2010 pensions have been paid in advance, on or immediately before the 1st of each month. We anticipate that this will continue if we are successful in securing benefits outside the PPF.
- Q6-3. Will I have to pay back any of the tax-free cash I received when I retired?