Key Benefits

The Fund closed to the future accrual of pension benefits on 31 March 2021. At this point all members who had not yet taken their benefits became deferred members.

If you were an active member when the Fund closed on 31 March 2021, your deferred benefits will have been calculated and notified to you as part of the closure consultation process.

Key benefits – before retirement

  • Your deferred pension will be revalued each year between the date you left the Fund and the date it is paid.
  • On your death, a pension may be payable to your spouse, civil partner or other dependant(s).
  • If you’re still working for Nationwide when you die, your loved ones may also be entitled to receive any life assurance benefit entitlement under your contract of employment. This benefit is provided outside of the Fund.

Key benefits – at retirement

  • When you take your benefits, you will normally have the option to convert up to 25% of the value of your pension into a tax-free cash lump sum and receive a smaller pension from the Fund. In certain limited circumstances set by HMRC, where your pension is deemed to be a trivial amount, you may be able to surrender the whole pension for a lump sum (25% being tax free).
  • You can retire early from age 55 (increasing to age 57 from April 2028), on a reduced pension.
  • You can retire early on an unreduced pension, if you meet the Fund’s ill heath requirements.
  • You can retire late, on an increased pension.
  • You also have the option to transfer your pension to a new employer or personal pension plan, although you are likely to require independent financial advice if you want to transfer out.

Key benefits – after retirement

  • Once you take your benefits your pension will be paid for life and increase each year in payment, unless inflation is negative.
  • On your death, a pension may be payable to your spouse, civil partner or other dependant(s).
  • If you die within 5 years of taking your pension, a lump sum equivalent to the balance of the remaining 5 years pension may be payable, at the discretion of the Trustee, to your beneficiaries.

You can find more detailed information about the benefits you’ve accrued in your leaving service statement, annual benefits statement (available via the secure Member Portal accessed from the Fund website) or by contacting the Administrator.