Old Barclays DB Pension

Snowwhite69

Hi, I  would appreciate some advice as I am trying to understand my pension and what it will mean at retirement age  I have a Barclays Pension DB (1964 scheme) the transfer value has dropped over the last couple of years but I have learnt this will not affect the figures long term. I am 54 and the pension would be paid at normal retirement age of 60. I am  female and I joined in 1987 and left in 1995. I have several figures including-  

GMP built up before 6 April 1988 -£57

GMP built up after 5 April 1988 -£436

Scheme pension (over the MP) built up before 6 April 1997- £1250

Total Scheme pension-£1743

with a £218 state pension deduction 

would anyone know how to calculate this at all. 

Thanks a lot in advance. 

xylophone

https://forums.moneysavingexpert.com/discussion/6328992/ex-barclays-gmp-pension/p1


https://forums.moneysavingexpert.com/discussion/6277922/barclays-1964-pension-and-gmp



This scheme has been mentioned a number of times on the forum, (examples above) the latest being here

https://forums.moneysavingexpert.com/discussion/comment/80590712/#Comment_80590712

Do you have access to the on line portal?

In your particular case,  you left the scheme before  1997 so that your Guaranteed Minimum Pension revalues at Fixed Rate.

You may be affected by the GMP equalisation exercise.

https://epa.towerswatson.com/accounts/barclays/public/barclays-bank-gmp-faqs/#:~:text=Which members could be affected,when GMPs stopped building up). 

https://epa.towerswatson.com/accounts/barclays/public/barclays-bank-ukrf-news-making-pensions-equal-gmp/


It seems from the latest thread above that with regard to GMP equalisation, your individual calculation might not have been done.


As things stood when you left, you would have expected your GMP (pre and post) to revalue at Fixed Rate (7% at your Date of Leaving) 

to age 60 and the excess to revalue under Scheme Rules  to age 60 ( seems to be  June  RPI max 5%) but you would need to check with

WTW. 

Pre 2010. female state pension age was 60 so that Barclays would have made the SPD at that age for the female pensioners.

However, state pension age has increased (yours to  age 67) - it appears that Barclays will not make the deduction from your

pension until that age.

As things stood, once you started drawing your pension at age 60, there would have been no obligation on the scheme to pay increases on that part of your pension that was pre 88 GMP or anything above 3% CPI on post 88 GMP.  The excess would increase under scheme rules.

Have you obtained a state pension forecast?

https://www.gov.uk/check-state-pension

Were you a member of any other contracted out pension after leaving Barclays?

If not, what is the COPE shown on your forecast?

Brie

1964 scheme used to send annual benefit statements.  Do you not still get those?  

FIREDreamer

Snowwhite69 said:

Hi, I  would appreciate some advice as I am trying to understand my pension and what it will mean at retirement age  I have a Barclays Pension DB (1964 scheme) the transfer value has dropped over the last couple of years but I have learnt this will not affect the figures long term. I am 54 and the pension would be paid at normal retirement age of 60. I am  female and I joined in 1987 and left in 1995. I have several figures including-  

GMP built up before 6 April 1988 -£57

GMP built up after 5 April 1988 -£436

Scheme pension (over the MP) built up before 6 April 1997- £1250

Total Scheme pension-£1743

with a £218 state pension deduction 

would anyone know how to calculate this at all. 

Thanks a lot in advance. 

The revaluation factor to end 2023 is 117.1% and your GMP appears to have fixed rate revaluation of 7%.

Your approx current benefits are …

Pre 1988 GMP: 57 x 1.07^29 = 405.51
Post 1988 GMP: 436 x 1.07^29 = 3,101.81
Non GMP: 1250 x 2.1171 = 2,646.37

Total = £6,153.69

This will continue to be revalued up to normal retirement date.

Sorry I cannot help with the state pension deduction - it may be just £217 pa deducted from this pension from SPA or it may be a higher revalued amount.

xylophone

Sorry I cannot help with the state pension deduction - it may be just £217 pa deducted from this pension from SPA or it may be a higher revalued amount.

https://forums.moneysavingexpert.com/discussion/comment/62875440/#Comment_62875440

"In the scheme a deduction is made to the Barclays pension once a member reaches SPA. The maximum SPD is 50% of the single person's Basic State Pension in force when you leave the Scheme. The maximum will only apply if you have completed more than 40 years of service. The maximum in any individual case is 12.5% of total gross pension entitlement before any reduction for early payment. The amount of the deduction, as shown on your pension quotation, is fixed and does not increase over your retirement.

Snowwhite69

Oh wow so much useful information, thanks so much. 

I’ve just checked my pension forecast and I have 38 full years with 13 years available to still contribute. 

It also says “Your forecast is £221.20 a week, £961.83 a month, £11,541.90 a year” 
from September 2036 

Many thanks again for everyone’s help with this. 😊

Snowwhite69

I also have a SANTANDER (UK) GROUP PENSION SCHEME – GROUP SECTION 1996
which says YOUR PENSION 

AS AT 2 JUN 2007

£1,123.56 per 

which I believe is a DB pension too 

I started working there in 1997. 

Any information in this too would be gratefully appreciated. 

Many thanks 

xylophone

It also says “Your forecast is £221.20 a week, £961.83 a month, £11,541.90 a year” 
from September 2036 

What is shown at "Estimate  based on your National Insurance Record to 5/4/23 (4)"?

What is the COPE shown? (Click on link "You have been contracted out...."

Snowwhite69

Your forecast

• is not a guarantee and is based on the current law
• is based on your National Insurance record up to 5 April 2023
• does not include any increase due to inflation

£221.20 is the most you can get

You cannot improve your forecast any more.

And 

Contracted Out Pension Equivalent (COPE)

Your COPE estimate is £23.03 a week

thank you Xylophone 😊

xylophone

Re your Santander Pension - is this what you are looking for?


https://mysantanderpension.co.uk/document-library/?type=1006&scheme=1038&file_name=

https://mysantanderpension.co.uk/newsletters/

Snowwhite69

Thanks for the Santander info also. 

So I’m assuming the £1123.56 on my Benpal page  is the number  of years of Pensionable Service before 6 April 2010  X

1/60th of my Final Pensionable Salary at your retirement date. 

I can’t see anywhere what the growth percentage per year would be. 

Would you know what this is likely to be.
many thanks