Pension Increase Exchange Option Your pension. Your choice.pensionpie.3i.com/~/media/Files/P/Pensionpie-3i/...2015/05/11 · advice should be enough to make a decision on whether

Information booklet

Retirement flexibility

Your pension. Your choice.Pension Increase Exchange Option

Your pension. Your choice.

Contents

Introduction 1

The Code of Good Practice 2

The Retirement Adviser 3

The Option 4

Issues to consider 6

Getting help and advice 8

Tax implications 9

Impact on your benefits 11

Protecting your pension benefits 12

Contact The Retirement Adviser on: 0800 085 0380 (if calling from the UK) +44 113 854 0574 (if calling from overseas)

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Member Helpline: 0800 085 0380 Email: [email protected]

Introduction

This booklet has been produced by 3i to help you understand the Pension Increase Exchange (PIE) Option that 3i is making available to pensioners in the 3i Group Pension Plan (the ‘Plan’).

The Option will be more appropriate for some people than for others. It is important to read everything in your pack, including this booklet and your Personal Statement and speak to The Retirement Adviser, before deciding whether to take the Option.

About this booklet

This booklet answers some common questions about the Option that 3i is making available to the Plan’s pensioners.

It explains:

�n Why 3i is offering a PIE Option�n How the Option works�n Some of the things you need to think about before deciding whether to take the Option or not�n Where to go for more information

The Trustees wrote to you on 6 November 2015 to let you know that 3i would be contacting you and gave you the opportunity to opt out of being contacted.

To help you make your decision, 3i has appointed a firm of independent, professional financial advisers, called The Retirement Adviser, to answer questions you may have and to help you make an informed decision on whether taking the Option is the right decision for you. You have to speak to The Retirement Adviser before you can accept the Option.

This booklet is intended to be a helpful guide to the Pension Increase Exchange Option that 3i is making available but it is not a definitive explanation of all the issues that may be relevant to you. The information in this booklet is intended to be of a general nature and is not a substitute for detailed, independent, professional financial advice which is available from The Retirement Adviser.

What you need to do nextIf you are interested in understanding the Option available to you or how your pension in the Plan works, contact The Retirement Adviser to speak to an independent financial adviser.

If you do not wish to find out more you do not need to do anything. Your pension payments and any future increases will continue as normal.

Contact details of The Retirement Adviser

Telephone

0800 085 0380 (if calling from the UK)+44 113 854 0574 (if calling from overseas)

The Retirement Adviser has special arrangements in place for people who have difficulty using the phone. This could include corresponding via email or post, discussing your options through a family member or friend or attending a face-to-face appointment. Please contact The Retirement Adviser by email at [email protected] or write to them at the address below for more information.

The Retirement AdviserDiddenham CourtLambwood HillGrazeleyReadingRG7 1JQ

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1. The Code of Good Practice

The information in your pack has been prepared by 3i in line with the pension industry’s Code of Good Practice for Incentive Exercises (‘the Code’), which is supported by the Pensions Regulator and the Department for Work and Pensions. The Code sets out guidelines to make sure that offers like this one:

�n are carried out fairly and transparently�n are communicated in a balanced way and in terms that members can understand�n include appropriate, regulated and qualified independent financial advice that is paid for by the employer.

The Code is voluntary but in making the Option available to you, 3i has aimed to comply as far as possible with the Code’s principles and wider regulatory guidance.

Further information about the Code can be found at: www.incentiveexercises.org.uk.

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2. The Retirement Adviser

Why did 3i select The Retirement Adviser?3i, following consultation with the Trustees, has selected an IFA firm called The Retirement Adviser to provide you with advice, based on their expertise, professionalism and past experience of helping members to understand their pension benefits.

The Retirement Adviser has previously been involved in several similar exercises for other companies and they have advised many members about this type of option. Therefore they understand the issues that members need to consider when making a decision. They also have detailed knowledge of the Plan and the benefits it provides.

How is The Retirement Adviser paid?3i will pay for the help and advice that The Retirement Adviser provides to you. The Retirement Adviser will be paid the same fee whether or not you take the Option.

Will The Retirement Adviser be able to give me any other advice?3i is paying The Retirement Adviser to help you understand your Plan benefits and to advise you whether taking the Option is right for you.

You may also have questions about other pension benefits outside of the Plan, and it will be possible to discuss these with The Retirement Adviser. However, if you want advice in relation to other pensions you will need to pay extra for this advice. Your adviser at The Retirement Adviser will tell you in advance if they believe extra advice would be useful for you and what the costs would be. For most people, the standard level of advice should be enough to make a decision on whether to accept the Option being offered by 3i.

Can I get my own advice rather than using The Retirement Adviser?Yes, but even if you do, you will still need to speak to The Retirement Adviser if you wish to take the Option. Their advisers have received training that gives them specialist knowledge of the Plan and the Option, which will help them give you a recommendation so that you can make an informed decision about the Option.

If you already have a financial adviser, they could review the advice from The Retirement Adviser. Please note that 3i will not pay for this advice.

If you would like to appoint your own financial adviser, you can find out about financial advisers in your area by visiting www.moneyadviceservice.org.uk. Please note that 3i will not pay for this advice.

You can also contact The Pensions Advisory Service at any time for free and impartial advice. You can find their contact details at www.pensionsadvisoryservice.org.uk.

Will I have to pay tax on the cost of the financial advice?If you were employed by 3i or one of its subsidiaries after 6 April 2015 then there may be a tax charge. If there is a tax charge 3i will meet this cost on your behalf. If you have any questions about this please speak to The Retirement Adviser.

The Retirement Adviser has been appointed to provide you with advice in line with the Code.

They are a national firm of Independent Financial Advisers (IFA) who have experience with assisting people with pension issues and options like this one. Their role is to help you understand the Option being made available and give you an impartial recommendation on whether the Option may be suitable for your circumstances. For some individuals, the issues may be more complicated than anticipated, and it is important that financial advice is taken.

By calling The Retirement Adviser, you are not committing to anything. It is your decision whether you choose to accept the Option.

Neither 3i nor the Trustees are responsible for the advice given to you.

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2.3

2.4

2.5

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3. The Option

What is the PIE?Pensions in the Plan are made up of a number of different parts that increase in different ways when in payment, depending on when they were earned by members1. Your pension may include one, some or all of these different parts. The Pension Increase Exchange (or PIE) is an option to exchange your future non-statutory pension increases in return for a higher immediate pension. Having a higher pension now may better suit your personal circumstances.

To help you consider the Option you should talk to The Retirement Adviser first – they will provide you with independent, confidential advice on what is best for you.

Why is 3i offering PIE as an option?The Option is part of 3i’s long-term strategy to make the Plan more secure for both members and 3i. If some members take up the Option it would reduce the costs and financial risks of running the Plan. Please be assured that 3i remains willing and able to continue to support the Plan.

It may also suit your personal circumstances to receive a higher pension now, with lower future increases, instead of your current pension which increases each year in accordance with the Rules of the Plan. You may, for example, have bigger financial commitments now than you will in the future (such as a mortgage) or you may feel you will be better able to enjoy a higher pension now.

By law, the Plan has to provide a minimum level of annual increases2. As the increases that you currently receive are more generous than this minimum, you are allowed to exchange these additional increases above the minimum. A number of other companies have recently presented a similar option for their pensioners.

Do I have to take the Option? No. It is your decision on whether to take the Option. If you decide it’s not for you, then you do not need to do anything. Your pension will continue to be paid from the Plan as normal and you will continue to receive increases in the normal way.

If I accept the Option, when would my new level of pension start? Your new higher pension would be paid from 1 July 2016. From this date, your pension would receive a one-off increase and you would then receive lower or no increases in future as set out in your Personal Statement. The Retirement Adviser will help you understand this process.

Can I exchange all my pension increases for no future increases to get an even bigger pension? There are some elements of pension which must increase at a minimum level by law. This includes the Guaranteed Minimum Pension (which you would have if you earned pension in the Plan between 6 April 1988 and 5 April 1997) and any pension earned after 5 April 1997. For these parts of your pension you are only able to exchange increases above the minimum rate required by law.

Can I choose which parts of my pension to include in the Option? No. The Option allows you to exchange all your eligible pension increases, with no choice as to which pension increases are included.

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3.2

3.3

3.4

3.6

3.5

1. The text of this document contains generic references to pension increases that apply under the Rules of the Plan, and the minimum pension increases required by law. Both of these vary according to the years in which different parts of the pensions were earned by members. Your pension may include one, some or all of these different parts. The table on page 2 of the Personal Statement shows how this applies to your pension.

2. See the note above.

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I have more than one pension from the Plan. Does the information about my options include all my pensions?If you have more than one pension from the Plan relating to different periods of service (eg, because you left 3i and then rejoined later in your career), you will receive separate letters in respect of each service period. However, when you speak to The Retirement Adviser, they will consider all of your Plan pensions together when giving you advice.

The Option only applies to pensions being paid from the Plan.

Will the Option be available in the future?3i does not currently have any plans to offer the Option in the future.

I live overseas. Does this affect whether I can participate in the Option?If you live and pay tax in a country within the European Union then you can participate in the Option. Please call The Retirement Adviser on +44 113 854 0574 or email them at [email protected] to go through the advice process.

The Option is not available to members who live or are tax payers outside the European Union, because The Retirement Adviser is unable to provide full advice to these members. 3i has taken steps to remove such members from the Option and apologises if you have received this letter and booklet in error.

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3.8

3.9

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4. Issues to consider

What are the potential risks for me if I take the Option?The Retirement Adviser will discuss the risks with you. Broadly speaking, the main risk is that, if you choose a higher pension now which does not increase as much as your current pension, your pension in later life might not keep up with inflation, ie, the cost of living.

To help you consider when you might be ‘better off’ or ‘worse off’, you should refer to your cross-over and break-even ages given in your Personal Statement and compare these to how long you think you will live. Take a look at the illustration below for an example of this.

�n After your cross-over age, the monthly amount of pension received under the Option (before tax) is lower than you would have received from your current pension (as increased each year in accordance with the Rules of the Plan)

�n After the break-even age, the total pension payments you would receive (before tax) from the start of the Option is lower than the total pension payments you would have received from your current pension (as increased each year in accordance with the Rules of the Plan)

Example of cross-over and break-even ages for a member taking a Pension Increase Exchange (PIE) Option

What is inflation?Inflation means the increase in the general level of prices. When there is inflation, more money will be needed to pay for goods and services. This is often referred to as an increase in the cost of living. There are several ways to measure inflation, including the Retail Prices Index (RPI) and Consumer Price Index (CPI).

Over time, inflation reduces the value of money – the pound in your pocket will be able to buy less. Currently, the pension you receive from the Plan has a significant amount of inflation protection which helps to maintain the buying power of your pension. If you take the Option, you should seriously consider the effects of the loss of some or all of this protection.

The table overleaf shows how the purchasing power of £100 today may change over time, assuming different constant rates of future inflation. These are only examples; inflation could be higher or lower than the range of inflation examples shown.

4.1

4.2

Current pension

Pen

sion

Years following option

Pension under new optionCross-over age

Break-even age

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In truth, nobody knows what inflation will be in the future. The Bank of England’s current target for the CPI is 2% a year. In the long term, the Trustees expect CPI to be around 0.75% a year lower than RPI on average.

How does the one-off increase compare to the value of my existing future pension increases?This depends on a number of different factors, including how long you live and the future level of inflation.

To help you judge the value of the one-off increase, the Code of Good Practice requires 3i to tell you the ‘balanced deal percentage’ figure. The balanced deal percentage for the Option is 74%.

This means that by giving up future non-statutory annual increases, the average person will get 74% of the expected value of those increases through a one-off increase to their annual pension. As the balanced deal percentage is the average across all members, the value of the Option to you may be different. The Retirement Adviser will explain what this means in more detail.

As the balanced deal percentage is less than 100%, the difference will be used to improve the long-term financial security of the Plan. Please be assured that 3i remains able and committed to funding the Plan’s benefits.

As required by the Code of Good Practice, 3i has used the Plan’s ‘transfer value basis’ to calculate the balanced deal percentage. The Plan’s transfer value basis is used by the Trustees to calculate the value of members’ benefits in certain circumstances, for example where a member yet to retire asks to transfer their benefits out of the Plan.

3i will not revise the balanced deal percentage or the Option. Question 6.3 explains that in some circumstances 3i may increase an individual member’s pension by more than is shown in their Personal Statement.

I joined the Plan before September 2002. Does the Option take into account my cumulative pension increases against cumulative RPI?The way your pension currently increases is described in the table on page 2 of your Personal Statement and in the footnote to that table. These increases mean that the pensions of some members who joined the Plan before September 2002 are currently ahead of their inflation-linked target (RPI inflation since retirement (or 30 June 1989 if later)) and could increase by less than the year’s inflation increase in future years.

To simplify the calculation of the new pension under the Option, 3i has chosen to ignore any potential below-inflation future increases where applicable, giving the value of this to pensioners.

However, the break-even and cross-over age illustrations do reflect any potential below-inflation future increases for each member, reflecting their specific position in order to provide more relevant illustrations.

4.3

4.4

Future inflation (pa) 1% 3.5% 6%

Buying power of £100 in 10 years’ time

£91 £71 £56

Buying power of £100 in 20 years’ time

£82 £50 £31

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5. Getting help and advice

What is the process for getting advice?You can call The Retirement Adviser now on 0800 085 0380 (+44 113 854 0574 if you are outside the UK). If you want to, you can speak to them about the Option straight away, otherwise you will be able to arrange a telephone appointment for a later date. It should take The Retirement Adviser 30-45 minutes to obtain all the information they need from you. You can ask them any initial questions you have before beginning the full advice process.

You are welcome to have any trusted party, for example your spouse, other family members or your own adviser, join you on the call when you speak to The Retirement Adviser.

Once you have spoken to The Retirement Adviser they will send you a personalised recommendation report and, if they recommend you accept the Option, an acceptance form for you to complete if you wish to accept the Option. The report should arrive about 1-2 weeks after your telephone appointment and you will be able to speak to The Retirement Adviser again to ask any further questions you have.

If you wish to take the Option and have a spouse or civil partner, they will also need to sign the acceptance form. Without their consent, you will not be able to take the Option.

Do I have to take The Retirement Adviser’s advice?You cannot accept the Option unless you have received advice from The Retirement Adviser but, once you have received their advice, you do not have to follow it – it is entirely your decision whether you accept the Option. You can decide to keep your pension and future increases as they are or take up the Option even if The Retirement Adviser advised you not to. However, as stated above, you will need to speak to The Retirement Adviser before you can choose to accept the Option.

If you wish to accept the Option, even though The Retirement Adviser does not advise that it is in your best interests to do so, please discuss this fully with The Retirement Adviser, so that they can ensure you understand the risks you are taking by not following their advice.

Is my personal data safe?Your data will only be processed by The Retirement Adviser, 3i and its advisers associated with the Option and will only be used in accordance with their policies, the Trust Deed and Rules of the Plan and the Data Protection Act 1998. Any further information you give to The Retirement Adviser will be treated confidentially and will not be shared with 3i or the Trustees, or used for any other purposes.

The Retirement Adviser will provide information to 3i and its advisers to help monitor take-up of the Option, but this information will be anonymised.

When is the latest date I can speak to The Retirement Adviser?An adviser from The Retirement Adviser will be available to speak to you up until 21 March 2016. However you must call them before 4 March 2016 to make sure there is enough time for them to advise you properly. 3i recommends that you contact The Retirement Adviser as soon as possible to make sure that you have enough time to go through the process, as you may not be able to get any advice after this date. To help speed up the process, please make sure you have details of your total income from all sources with you when you call them.

You have until 21 March 2016 to decide whether or not you want to take the Option.

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5.2

5.3

5.4

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6. Tax implications

Will I have to pay more tax if I take the Option?Pensions are taxed as income and all payments will continue to be taxed in accordance with UK legislation. If you take the Option, your increased pension may mean that you pay income tax at a higher overall rate.

It depends on your personal circumstances but, in broad terms, you are likely to pay additional tax in the following circumstances (although note that this is not an exhaustive list):

�n If your new higher pension causes you to move into a higher tax band;

�n If you were born before 6 April 1938 and your new higher pension causes your annual income to rise above £27,000 (for the 2015/16 tax year);

�n If the new higher pension causes your annual income to rise above £100,000; or

�n If the additional pension takes you over the Lifetime Allowance (see question 6.3 for information on an exception which will apply).

The income tax bands applicable for the 2015/16 tax year are as follows:

Will my spouse, civil partner or dependant have to pay more tax if I take the Option?For members who retired after 5 April 2006, an additional tax charge can sometimes apply for your spouse, civil partner or dependant. This is unlikely to apply for most people, but as the likelihood increases if you take the Option, 3i is taking this opportunity to tell you about it.

Broadly speaking, the tax charge may apply if you die after age 75 and your spouse, civil partner or dependant’s pension is a similar size to the total of your own pension payments over the 12 months before your death, plus 5% of any tax-free cash lump sum you took when you retired. The Retirement Adviser can provide you with more information on this.

If I take the Option, will I incur any tax charges now because of the Lifetime Allowance?

The Lifetime Allowance is the limit set by HMRC on the value of payments from all your pension schemes (whether these are lump sums or retirement income) that can be made without triggering an extra tax charge. From 6 April 2016, the standard Lifetime Allowance is £1 million. However, if you have previously applied for protection you may have a higher personal Lifetime Allowance.

If you started drawing your pension after 5 April 2006, you will have used up a proportion of the prevailing Lifetime Allowance on your retirement date. If you retired before this date, you will not usually have used up any of your Lifetime Allowance. Ordinarily, when you accept a PIE, this can cause you to use up more of your Lifetime Allowance.

6.1

6.2

6.3

Income tax rate Born after 6 April 1938 Born before 6 April 1938

Personal Allowance (nil)* £10,600 £10,660**

Basic rate (20%) £0 to £31,785

Higher rate (40%) £31,786 to £150,000

Additional rate (45%) Over £150,000

* The Personal Allowance reduces where income is above £100,000 by £1 for every £2 of income above the £100,000 limit. This reduction applies irrespective of age or date of birth.

** If you were born before 6 April 1938 and have an annual income of £27,000 or less, you benefit from a slightly higher Personal Allowance.Source: HMRC, https://www.gov.uk/income-tax-rates

The Lifetime Allowance is a complex issue. The Retirement Adviser will discuss with you what this means for you, particularly if you have other pensions, which you should disclose to them.

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However, if you take the Option, there is an exemption under guidance from HMRC, which 3i expects will apply. This exemption means you will not incur a tax charge as a result of the increase to your pension from taking the Option, regardless of how much of the Lifetime Allowance you have already used up. In the unexpected circumstance that the exemption does not apply and a Lifetime Allowance charge falls due, 3i will provide you with the opportunity to re-visit your decision to accept the Option before it is implemented.

The Retirement Adviser can help you understand whether you may incur a tax charge. It is important that you give them information on all of your pension benefits, including personal pensions, those from other employers, and those you are yet to take. If you have any questions about this please speak to The Retirement Adviser.

In some circumstances 3i may increase your pension by more than is shown in your Personal Statement. That is to say, you may receive a more generous one-off increase to your pension. This will enable 3i to apply the exemption under guidance from HMRC (mentioned above), and if you are affected by this 3i will write to you and let you know in advance of your higher pension being paid.

I have other pension benefits which I have not yet started to receive – will taking the Option have any impact on any Lifetime Allowance tax charges which may fall due in the future?Due to the HMRC exemption referred to in question 6.3, your 3i pension is not expected to be retested against the Lifetime Allowance as a result of taking the Option.

However, if you started drawing your 3i pension before 6 April 2006, it may have never been tested against the Lifetime Allowance. If you started drawing your pension before 6 April 2006 and you crystallise any pension benefits in other arrangements after taking the Option, your 3i pension will be included in the Lifetime Allowance test at that time. You may be more likely to incur a Lifetime Allowance tax charge as a result of your higher 3i pension.

This is a complex issue and The Retirement Adviser will discuss with you what this means for you.

If I take the Option, will I incur any tax charges because of the Annual Allowance?The Annual Allowance is a limit on the amount of new pension benefits or savings an individual can build up over a year. The increase in pension you get by taking the Option is not expected to count towards this.

In the unexpected circumstance that the increase in pension you get by taking the Option does count towards the Annual Allowance, 3i will provide you with the opportunity to re-visit your decision to accept the Option before it is implemented.

6.4

6.5

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7. Impact on your benefits

What happens to the pension that may be payable to my spouse, civil partner or dependants?Any pension benefits that may be payable to your spouse, civil partner or dependants following your death will be included in the Option. This means that if you take the Option, the pension that may be payable to your spouse, civil partner or dependants will be based on your new higher pension and will receive lower annual increases in the future.

If you currently do not have a spouse or civil partner, accepting the Option does not prejudice any entitlement to a spouse’s or civil partner’s pension if your circumstances change in the future. Their future benefits would be based on your new pension.

If you wish to take the Option, then your spouse or civil partner will also need to sign the acceptance form or you will be asked to confirm that you do not have a spouse or civil partner. If you have not ticked the box confirming you have no spouse or civil partner but your spouse or civil partner’s signature is not included, 3i will not implement the Option for you.

The Retirement Adviser can help you understand what benefits may be paid to your spouse, civil partner or dependants if you die now and how these benefits could change if you take the Option. They can also help you understand what might happen if you are not married now but get married in the future. If you don’t have a spouse or civil partner when you die, the Trustees have discretion to pay a pension to another dependant.

What are the potential risks for me if I accept the Option?If you choose a higher pension now that does not increase as much as your current pension, one possible risk is that your pension in later life might not keep up with the cost of living due to higher than expected inflation.

Whilst your pension would be higher now if you accept the Option, it would be lower after your cross-over age.

The total amount of pension you will have received (before tax) would be lower if you are still receiving your pension after your break-even age.

The cross-over age and the break-even age are illustrated in question 4.1 of this booklet. Page 5 of your Personal Statement shows what your personal cross-over age and break-even age might be, based on some example inflation figures. The higher inflation is in future, the sooner you will reach your cross-over and break-even ages, though the opposite is also true if inflation is lower.

Your adviser at The Retirement Adviser will explain the potential risks in more detail before you make your decision.

If I accept the Option, can I change my mind?If you decide to accept the Option and return your acceptance form, you will have two weeks from the date your form is received to change your mind. If you have not changed your mind during this two week window, your decision to accept the Option will be irreversible (unless one of the situations described in the answers to questions 6.3 or 6.5 were to occur). This means that you cannot change your mind about the one-off increase on your pension. That is why this is an important decision that you must consider carefully and that is also why 3i requires you to take advice from The Retirement Adviser first.

Is there any effect on benefits from the Government?Accepting the Option will not affect your State Pension.

However, if you accept the Option, your pension will increase. As some ‘means tested’ State benefits are based on your income and savings, including your pension, accepting the Option may reduce your means tested State benefits. You can discuss this in more detail with The Retirement Adviser.

My pension is due to reduce when I reach my State Pension Age. How will the Option affect this State Pension Adjustment?Accepting the Option has no effect on your State Pension Adjustment. Once you reach your State Pension Age (or age 65 if earlier), if the State Pension Adjustment applies to you, your pension will be reduced by the same amount (but deducted from the higher pension if the Option is accepted). You can discuss this in more detail with The Retirement Adviser.

7.1

7.2

7.3

7.4

7.5

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8. Protecting your pension benefits

Who makes sure my pension is properly looked after?The Plan’s Trustees have primary responsibility for making sure your benefits from the Plan are looked after properly and paid to you at the correct time and in the correct manner.

What do the Trustees think of the Option?3i has consulted with the Trustees in order to make the Option available to you. The Trustees are content for 3i to offer the Option to you, providing you are given appropriate independent financial advice. The Trustees have reviewed the terms of the Option and communications sent to members. The Trustees understand that the Option is being made as far as possible in accordance with the Code of Good Practice.

The Trustees cannot and do not make any recommendation as to the suitability or otherwise of the Option for any individual member.

Is the Plan in financial trouble?No. The Option is part of 3i’s long-term strategy to make the Plan more secure for both members and 3i. If some members take up the Option it would reduce the costs and financial risks of running the Plan. Please be assured that 3i remains willing and able to continue to support the Plan.

What type of protection exists for pension plans?For defined benefit pension schemes, such as the Plan, compensation may be payable by the Pension Protection Fund (the PPF) as a last resort if 3i became insolvent and there was not enough money in the Plan to secure members’ benefits with an insurance company.

The compensation rules are complex and the amount of compensation payable would depend on your and the Plan’s circumstances at the time. You can find out more on the PPF’s website: www.pensionprotectionfund.org.uk.

What if I have a complaint about the Option?If your complaint is about the advice you receive from The Retirement Adviser, you should first contact The Retirement Adviser with your complaint.

Details of their complaints procedure will be provided to you in the recommendation pack you receive.

If your complaint is about other aspects of the Option, or the way it has been offered to you by 3i, you should write to 3i at the following address:

3i Human Resources 16 Palace Street London SW1E 5JD

If, following 3i’s response, you are not satisfied that your complaint has been resolved you can contact the Pensions Ombudsman. Contact details for the Pensions Ombudsman can be found on the next page.

8.1

8.2

8.3

8.4

8.5

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Pensions are a regulated area and there are a number of parties that provide protection in different ways. Here is an overview:

�n The Financial Services Authority (FSA) and the Financial Conduct Authority (FCA)

The FSA was the UK’s primary financial regulator set up under the Financial Services and Markets Act 2000. It set out the rules used by regulated financial advisers, like The Retirement Adviser, to provide impartial and confidential advice. In April 2013, the FSA handed over this responsibility to the FCA. You can find out more at www.fca.org.uk.

�n The Pensions Regulator

The Pensions Regulator is the regulator of UK work-based pension plans. In July 2012, the Pensions Regulator issued guidance on how employers, trustees and pension plan members should deal with exercises like this. 3i has made sure that it has met the Pensions Regulator’s requirements. You can find out more at www.thepensionsregulator.gov.uk.

�n The Pensions Ombudsman

The Pensions Ombudsman is appointed by the Secretary of State for Work and Pensions. The role of the Pensions Ombudsman is to investigate complaints about how pension schemes are run and to provide an impartial process to resolve these complaints.

Their service is free and open to members who have a complaint against those responsible for the running or administration of pension schemes. You can find out more at www.pensions-ombudsman.org.uk.

Access the website www.pensionpie.3i.comusing the password mypie, where you can find further information on the Option.

Documents

Pension Increase Exchange Option Your pension. Your choice.pensionpie.3i.com/~/media/Files/P/Pensionpie-3i/...2015/05/11 · advice should be enough to make a decision on whether