BT Pension Review
BT Retirement Saving Scheme – Update
19 June 2018
In line with the Pension and Pay Agreement, the BT Retirement Saving Scheme was changed on 1 June 2018, including an increase in the standard BT contributions.
BT has issued communications to all BTRSS members today updating BTRSS members and reminding them of the changes. While the BT contribution increases are automatic, members should read the BT communications carefully as there are some issues to consider. The main points are set out below.
- BT has increased the standard company contribution rates to the BTRSS. This means that if members pay at least 5% of pensionable salary into the scheme, BT will pay 10%. The increased contributions will happen automatically and will be invested in the BTRSS in early July.
- For those receiving a London Weighting allowance, this will now be included in the BTRSS pensionable salary. Both BT’s contribution and the member contribution into the BTRSS will increase as a result.
- BT has increased the amount of cover beneficiaries are entitled to in the event of death while employed at BT. This is now 10 times the BTRSS pensionable salary, subject to the Lifetime Allowance. However, there is no longer a dependant’s pension.
- If members have chosen to buy voluntary life cover through Your Rewards and would now like to reduce the amount of cover because of the increased cover provided by BT, this can be done via Your Rewards.
- Four additional allowances will also become pensionable in the BTRSS by 1st April 2019. These allowances are shift, night attendance premium (within standard hours), outside broadcast and Sunday attendance (within standard hours). BT, but not members, will make BTRSS contributions for these allowances.