Option 1
Annual pension plus additional cash lump sum
This option provides you with a pension for life plus a one-off tax-free cash lump sum at retirement. Your retirement quotation letter shows the initial annual pension amount, which is payable monthly in equal instalments and increases each year.
See ‘How will my pension increase?’ in the Member Guide for more information on the level of pension increases and when your pension will be paid.
Your one-off cash lump sum is paid separately from your pension, and you’re likely to receive it before your first pension instalment.
Please note: if you choose this option, your Spouse/civil partner’s pension entitlement is unaffected.
Next steps
You will need to complete the following:
- Retirement option form
- Retirement information form (including LTA form)
- UK or overseas Bank Mandate form
- Birth Certificate*
- Marital Status Declaration form*
- Marriage Certificate (if you’re married)*
* UK-based members – these forms will only be requested by Aptia if they’re unable to identify you electronically. Overseas members – will be required to send original Birth Certificate or change of name documents (e.g. Marriage Certificate) as standard.
See the timelines below showing how long we expect it’ll take to process your request.
Timelines
Active members leaving the Company:
Member contacts ScottishPower line manager asking to leave/retire (see MyHub)
Typically 3 months before retirement date
Line manager loads leaver notification to system and auto-email sent to Aptia
Within 5-10 working days of request
Aptia sends (illustrative) retirement quotation pack to member
Within 10 working days of email if less than 3 months to retirement date
Member returns completed forms
Aptia completes ID checks if required
Within 10 working days of receiving completed forms
Settlement of benefits
Tax-free cash lump sum
Usually within 5-10 working days of the settlement letter (this will only be settled after the retirement date)
First pension payment including any back payments due
Up to 6 weeks after the settlement letter due to payroll cutoff dates and additional Aptia checks
Aptia will recalculate retirement benefits once the retirement date has passed and final RPI inflation figure is known. If this results in a higher Final Pensionable Salary and increased retirement benefits, Aptia will pay any top up cash sum and put the higher pension into payment.
Active members continuing in employment:
Member contacts Aptia to opt out of the Group to access pension benefits
At least 2 months’ notice required before opt-out date
Aptia sends opt-out form
Within 10 working days
Member returns completed opt-out form
Any time before opt-out date
Aptia sends (illustrative) retirement quotation pack to member
Within 10 working days of receiving opt-out forms
Member returns completed retirement forms
Any time before opt-out date/retirement date
Aptia completes ID checks if required
Within 10 working days of receiving completed forms
Settlement of benefits
Tax-free cash lump sum
Usually within 5-10 working days of the settlement letter (this will only be settled after the retirement date)
First pension payment including any back payments due
Up to 6 weeks after the settlement letter due to payroll cutoff dates and additional Aptia checks
Aptia will recalculate retirement benefits once the retirement date has passed and final RPI inflation figure is known. If this results in a higher Final Pensionable Salary and increased retirement benefits, Aptia will pay any top up cash sum and put the higher pension into payment.
Deferred members approaching Normal Retirement Date:
Aptia sends retirement quotation pack to member
Around 6 months before Normal Retirement Date
Member returns completed forms
Any time before Normal Retirement Date
Aptia completes ID checks
Within 10 working days of receiving completed forms
Aptia recalculates retirement quotation if required due to change in calculation factors, and issues settlement letter (or new retirement quotation pack if the figures have reduced)
Within 10 working days of receiving completed forms and completed ID checks
Settlement of benefits
Tax-free cash lump sum
Usually within 5-10 working days of the settlement letter (this will only be settled after the retirement date)
First pension payment including any back payments due
Up to 6 weeks after the settlement letter due to payroll cutoff dates and additional Aptia checks
Deferred members requesting early or late retirement:
Member contacts Aptia to request a retirement quotation
Aptia sends retirement quotation pack to member
Within 10 working days of request
Member returns completed forms
Any time before retirement date
Aptia completes ID checks
Within 10 working days of receiving completed forms
Aptia recalculates retirement quotation if more than 3 months to retirement date and if required due to change in calculation factors, and issues settlement letter (or new retirement quotation pack if the figures have reduced)
Within 10 working days of receiving completed forms and completed ID checks
Settlement of benefits
Tax-free cash lump sum
Usually within 5-10 working days of the settlement letter (this will only be settled after the retirement date)
First pension payment including any back payments due
Up to 6 weeks after the settlement letter due to payroll cutoff dates and additional Aptia checks
Other retirement options
Option 5: Cash Equivalent Transfer Value (CETV)
Option 6: Trivial Commutation
Useful contacts
MoneyHelper A free, Government-backed service offering impartial help on all aspects of money, including benefits, savings, budgeting and pension choices. It includes Pension Wise, which offers free, impartial guidance on retirement options for people aged 50 and over. Visit www.moneyhelper.org.uk.
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