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Leaving the Fund and opting-out

The Fund offers a variety of valuable benefits, so make sure you understand the implications for your future if you are considering giving them up.

Not the right time for you?

Paying into a pension is one of the most secure ways of saving for your life after work. But if you decide it’s not right for you, then you can leave the Fund by opting out.

If you have decided to opt out of the Fund, the first thing you should do is to contact your employer, who will trigger the opt out process on your behalf. They will then contact Railpen, the administrator of your pension to let them know, and Railpen will send you your opt-out pack. 

You should read the information in the pack thoroughly before completing the opt-out form and returning it to Railpen.

 

You should be aware that as well as your future pension you would be giving up, you'll also lose your death benefit of four times your salary should you die as an active member of the Fund. So think carefully before making a decision.

Leaving or opting out of the Fund

If you leave or opt-out of the Fund, your Fund benefits will be preserved and increase each year in line with inflation. Preserved benefits are payable from your Pension Age, which is age 55. If you are still employed by BTP, you will need BTP’s consent to take your benefits whilst employed.

If you have Protected Pension Age, you can apply to take your preserved benefits from age 50. Your benefits will be reduced if they are paid before age 55 and you do not have 30 years’ membership in the Fund.

Alternatively, you may be able to transfer your preserved benefits to another pension arrangement.

Rejoining the Fund

If you wish to rejoin the Fund after opting out, you can’t do this until 5 years after the date of opting out.

You would need the consent of your employer and the Trustee if you wanted to rejoin.