UPDATE – Important information – only for members who are not yet in receipt of their pension – UPDATE

Please be advised that the PPF have decided NOT to implement the changes described in our earlier posting which is reproduced below.

For an explanation please follow this link to the PPF website: PPF Factors

Please accept our apologies for any inconvenience caused.


Announcement posted on July 9, 2016

Members will be aware that since January 2009 we have been in the ‘PPF Assessment’ period and have been obliged to use PPF factors to calculate (a) the lump sum that members will receive if they decide to take a smaller starting pension and/or (b) the reduction in starting pension if a member decides to take his/her pension before reaching normal retirement age (60 for most members).

The PPF have notified us that the factors will change for all pensions that are first put into payment on or after October 1, 2016.

The changes mean that members will get smaller lump sums for giving up some of their normal pension entitlement and there will be greater reductions to starting pensions if a member decides to retire early.

As an example: if a member whose normal retirement age is 60 decides to retire three years early at age 57 then their starting pension will be just over 4% less if it commences on/after October 1. If a member also decides to give up some of their starting pension in exchange for a lump sum then the lump sum will be up to about 7% less depending on what proportion of a member’s service is before or after April 1997.

Full details of the new and old factors can be found by following this link to the PPF website – Early Retirement Factors

Every member’s needs and circumstances are different of course, so if you are thinking about starting your pension in the near future then please contact our team as soon as possible for a personal quotation. For most members, the earliest age you can put your pension into payment is 50.