Diageo Pension Scheme

The information we provide here is our understanding of the pension scheme and may not be the latest, there may also be some detail missing. It is provided in good faith as an overview of the details we hold. There has not been any endorsement or otherwise of these details by the pension scheme, their sponsoring employer or scheme administrators.

This is a partial summary of the complex benefits provided through potentially many schemes, where retirement options can be very different within the same scheme or the same individual sections of those schemes.

If you are either a current or deferred member of the pension scheme and wish specific information about your personal benefits, the scheme administrator will need to be contacted.

Website: https://www.mydiageopension.com/

Scheme Retirement Age: 60 – 67.

Are partial transfers allowed?

Under the statutory transfer rules it is possible to transfer a category of benefits and leave another category behind but beyond this there is no provision for partial transfers within each category of benefits.

Scheme Funding Position:

As at 31st March 2021, the funding level of the scheme stands at 105%.

Revaluation:

By law, if you left the Scheme after 1 January 1986, any pension in excess of GMP earned after 1 January 1985 must be increased in line with the Government’s minimum increase rate.

This is currently the rise in the Consumer Prices Index (CPI), up to 2.5% a year From 1 April 2012, Diageo changed the way it increases pensions in deferment.

From 1 April 2012 your deferred pension will increase in line with the CPI , up to 5% a year, provided the cost of making the extra increase above the legal minimum is affordable, given the Company’s and Scheme’s financial positions at the time.

Any increases that have already applied to your deferred pension, which will generally have been in line with the RPI, are not affected by the change. These increases will normally be applied when your benefits become payable or on transferring benefits to another pension scheme.

Final Salary – up to 31 March 2012 by RPI.

Escalation:

Pensions in payment increase on 6 April each year. Before that date, you will receive a letter to confirm your new level of pension together with an explanation of how this has been calculated.

If you have only started to receive your pension within the last 12 months, your first increase may be proportioned. The method for increasing your pension is different depending on whether you have reached GMP age (age 60 for females and 65 for males).

If you are under GMP age, the part of your pension earned up to 31 March 2012 will increase each year in line with the Retail Prices Index (RPI) up to a maximum of 5% each year. For pension earned after 31 March 2012 your pension will increase in line with the Consumer Prices Index (CPI) up to a maximum of 5% each year.

If you are a former member of the GrandMet Group Pension Fund, your pension earned up to 31 March 2011 will increase by at least 3% each year.

If you are over GMP age, your pension may comprise two elements – Guaranteed Minimum Pension (GMP) and pension in excess of GMP. Any GMP earned before 6 April 1988 does not increase. Any GMP earned after 6 April 1988 is increased by the Scheme up to a maximum of 3% each year.

This increase is based on the rise in the CPI over 12 months to the previous September. The balance of your pension earned up to 31 March 2012 will increase each year in line with the Retail Prices Index (RPI) up to a maximum of 5% each year. Any pension earned after 31 March 2012 will increase in line with the Consumer Prices Index (CPI) up to a maximum of 5% each year.

If you are a former member of the GrandMet Group Pension Fund, your pension earned up to 31 March 2011, in excess of any GMP, will increase by at least 3% each year. Although pensions, in excess of any GMP, are reviewed each 6 April, the increases are based on the rise in the RPI over the previous 12 months to January.

None.

Proportion of spouse’s pension payable to spouse: 50% Spouse’s pension based on: deferred pension revalued to date of death An unmarried partner may qualify for a spouse’s pension where the requirements of the scheme rules and relevant legislation have been met and at the discretion of the Trustee.

A child’s pension will only be payable where the child meets the eligibility criteria under the scheme rules and relevant legislation.

Proportion of member’s pension payable: 50% Spouse’s pension based on pre or post commutation pension: Pre commutation An unmarried partner may qualify for a spouse’s pension where the requirements of the scheme rules and relevant legislation have been met and at the discretion of the Trustee.

A child’s pension will only be payable where the child meets the eligibility criteria under the scheme rules and relevant legislation.

This information is based on our own scheme specific real-world data gathered over an 18 month period. To be clear and ensure there is no risk this information can be deemed misleading, it is our own data for the entire process, which includes our own very thorough and complex regulatory analysis and advice process, in addition to the gathering and provision of accurate information from the scheme administrators and their subsequent completion of any pension fund transfer requests. Future timescales could vary.

Fastest: 2.5

Slowest: 12.0

Average: 8.4

If you are a member of the Diageo Pension Scheme and would like to know if transferring or cashing in your pension at 55+ is suitable for you, why not get started today and receive your free Pension Transfer Guide and arrange a free consultation.

Grove Pension Solutions Ltd is regulated by the Financial Conduct Authority and specialise solely in defined benefit pension transfer.