If you leave the Plan without being entitled to an immediate early retirement pension, you can:

  • leave your benefits in the Plan as a preserved pension, based on your Final Pensionable Pay and Pensionable Service at leaving. This will be payable when you reach 65 or at any time from age 55 with the consent of the Trustees and subject to a reduction because you are likely to be drawing your pension over a longer period. The value of your preserved pension above the GMP is guaranteed to increase at 5% a year or, if it is less, the rise in Consumer Prices or alternative suitable index between the date you leave and the date you start to receive your pension. For members leaving after 5 April 2012, increases in the GMP between the date of leaving and the date of starting to receive pension will be at a rate of 4.75% a year;


  • transfer the cash value of your benefits to an approved personal or stakeholder pension plan of your choice;


  • transfer the cash value of your benefits to a new employer’s scheme if it is approved and your new employer is willing to accept it.

Incapacity after leaving Plan 35

If, having left Plan 35 but opting to retain a preserved pension, you subsequently suffer from incapacity, on which the Trustee’s decision is final, you will be able to draw the full value of your preserved pension immediately without the usual reduction for early payment.

Transfers out

Guaranteed cash equivalents

If you are considering transferring your benefits, you will be provided with a guaranteed cash equivalent. This is a quotation of the transfer value payable and also gives you instructions on how to exercise this option. Requests for a guaranteed cash equivalent may only be made every 12 months and if you choose to proceed with the transfer you are required to reply within three months of the quotation. If you are interested in transferring or obtaining an estimate of your transfer value, please contact the Clarks Pensions Department.

Calculation of transfer values

The transfer value is the current cash value of your preserved benefits and is calculated in accordance with instructions provided by the Fund actuary. The value of the future benefits payments, taking into account guaranteed increases both before and after the benefit becomes payable, are discounted at an assumed rate of interest. The calculations take into account the probability of each benefit payment being made, but no allowance for future discretionary increases.

© Clarks Pensions 2014