09
Apr
2021
The Trustees of these defined benefit schemes, which represent nearly 450,000 members and £83bn of assets, believe the implications of this decision have not been fully considered.
24
Feb
2021
The Trustees of the BT Pension Scheme, Ford Pension Schemes and Marks and Spencer Pension Scheme have today announced that
13
Jan
2021
Following members’ feedback, we have been investing in technology and modernising our online services.
06
Jan
2021
BT Pension Scheme Management (‘BTPSM’) has announced, with immediate effect, the appointment of Wyn Francis as Chief Investment Officer.
We have recently received some queries from members about the Crown guarantee. We thought it would be helpful to provide some further information about how the Scheme and the Crown Guarantee operate. We recognise that this is a complex matter and we have sought to explain the key principles of the Crown Guarantee below. We hope you find this information helpful.
The BT Pension Scheme (the “Scheme”) is a defined benefit pension scheme which delivers a specified income for life based on a member’s pensionable salary and length of pensionable service. In order to provide these benefits, contributions are required from members and from BT plc. If these monies are insufficient, from time to time, BT plc is required to make additional contributions to the Scheme to cover the anticipated cost of paying future benefits.
This is different to a defined contribution scheme where retirement benefits are effectively dependent upon and funded by the amount of contributions made by individual members and/or by their employer on their behalf, plus any investment returns earned, which are then used to buy an annuity and / or to fund a cash lump sum.
On privatisation of BT plc in 1984, the Government provided the Scheme with a special protection in the form of a guarantee which provides that, in the unlikely event of a winding up of BT plc, most ongoing contribution obligations of BT plc to the Scheme would be met by the Government (known as the Crown Guarantee). In this regard it should be emphasised that the Crown Guarantee does not cover the benefits of individual members but rather enhances the security of member benefits in the Scheme overall.
It is important to emphasise that the Crown Guarantee is only relevant in the unlikely event of a winding up of BT plc and, in such circumstances, would enable the Scheme to receive ongoing contributions, if needed, to fund the payment of benefits.
Please select from section A or C
Section A
For members who joined the Scheme before 1 December 1971
Section B
Section B no longer has any active members, if you are a deferred member of Section B, please visit the deferred section here
Section C
Section C closed to most active members on 30 June 2018, but remains open to members holding a “GAD passport” following a previous transfer from another employer. If you are a deferred member of Section C, please visit the deferred section here
Please select from section A, B or C
Section A
For members who joined the Scheme before 1 December 1971
Section B
For members who joined the Scheme between 1 December 1971 and 31 March 1986
Section C
For members who joined the Scheme on or from 1 April 1986 but before the Scheme closed on 31 March 2001
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