Full and Partial Transfers Out

 

You may wish to transfer your Telefónica Plan benefits in part, or in full to another provider. The below table sets out the rules relating to any transfer. If you have Defined Contribution (DC) savings with Telefónica you can view your statement at any time by visiting the Standard Life website here. If you have Defined Benefit (DB) (ex-final salary) savings with Telefónica please contact our DB administrators LCP here

 

If you do not know what section of the plan you are in then please visit the overview here.

 

Active current members

 

Type of member
Full transfer out
Partial transfer out
Section 1 - Defined Contribution (DC) member or Section 1B (auto-enrolled) – Active Not allowed if you are still making contributions to your retirement account. Not allowed if you are still making contributions to your retirement account.
Section 1A - Active (Ex-final salary member), Defined Benefit (DB) Not allowed if you are still making contributions to your retirement account. Not allowed if you are still making contributions to your retirement account, but if you have deferred Defined Benefit (DB) benefits you can make one partial transfer from your DB AVC pot (whole or in part).

 

Please note:

 

  1. New rules regarding the transfer of Defined Benefit (DB) benefits came into effect from April 2015. 
     
  2. If you have a DB transfer value of £30,000 or less you will not be required to take financial advice however this may still be something you wish to consider.
     
  3. If you have a transfer value of more than £30,000 you will need to provide evidence to the Trustees within three months of the date that the transfer value is provided that you’ve taken financial advice.  If you fail to do this on time, your statutory right to a transfer falls away and the trustees will need to decide how to deal with the evidence provided late.  The Trustees will need to check that the adviser is authorised before any transfer is made. 

 

Deferred members

 

Type of member
Full transfer out
Partial transfer out
Section 1 – Deferred Defined Contribution (DC) member or Section 1B (auto-enrolled) Allowed (under legislation) providing you have more than 3 months pensionable service in the Plan and it's to another registered arrangement, and you are not within 1 year of Normal Retirement Age (NRA). If you have more than 3 months but less than 2 years qualifying service then you will be entitled to transfer out of all benefits or a refund of contributions.

If you are within 1 year of NRA there's no statutory entitlement to a transfer out.
Allowed* (under Scheme rules and current Trustee policy) providing you have more than 3 months pensionable service in the Plan and it's to another registered arrangement.

You can transfer part of your DC pot providing a minimum of £10,000 is retained.
The £10,000 remains in the Plan until you fully transfer out or retire. Other partial transfer options need to be referred to the Trustee sub-committee.
Section 1A – Deferred, (Ex-final salary member), Defined Benefit (DB) Allowed (under legislation) providing it’s to another registered arrangement and you are not within 1 year of NRA.

If you are within 1 year of NRA there is no statutory entitlement to a transfer out.
Allowed* (under Scheme rules and current Trustee policy) providing it’s to another registered arrangement.

According to the current Trustee policy you can make one partial transfer from your Defined Benefit (DB) Additional Voluntary Contribution (AVC) pot (whole or in part) or transfer part of your Defined Contribution (DC) pot providing a minimum of £10,000 is retained.  Other partial transfer options, including transfer of deferred Defined Benefit (DB) benefits with Defined Contribution (DC) benefits left in the Plan, need to be referred to the Trustee sub-committee. The £10,00 remains in the Plan until you fully transfer out or retire.
 
Section 2, 2A, 3 and 3A - Deferred member (with no benefits in any other Plan section) Allowed (under legislation) providing you have more than 3 months pensionable service in the Plan and it's to another registered arrangement and you are not within 1 year of NRA. Allowed* (under Scheme rules and current Trustee policy) providing it's to another registered arrangement and the following conditions are met:

- The partial transfer amount is more than £20,000, or the value of the member's Guaranteed Minimum Pension (GMP) if greater.

- The residual benefit is more than 25% of the value of the original benefit.

- Only one partial Defined Benefit (DB) transfer can be taken by a member.

 

Please Note:

 

  1. *Trustees Approval required, according to the current partial transfer’s policy, a Trustee sub-committee consisting of two Trustees has been created to review individual transfer requests that fall outside the above, and to handle any partial transfer requests.  Any request for a partial transfer of Defined Benefit (DB) benefits i.e. leaving any Defined Contribution (DC) benefits in the Plan and only transfer out the DB benefits, will require the consent of the Trustee and the Principal Employer. Trustee consent has been delegated to the Partial Transfers Committee. Any approval relating to these matters will require Trustee approval. The Trustees retain the right to reject transfer requests which do not comply with the Plan’s Rules, any relevant laws or regulatory requirements affecting the Plan and/ or any company or trustee policy.
     
  2. Members wishing to take a partial DB transfer to a DC arrangement will need to provide confirmation that they have taken appropriate independent advice on the merits of the transfer. This requirement applies even if the amount the member wishes to take as a partial DB transfer is less than £30,000. 
     
  3. Any deferred members who remain employees of Telefónica and choose to opt-out of Pension membership will be shown as a deferred member and would be treated as such.

 

Regardless of your membership status any ex-final salary member (DB, Defined Benefit) cannot take a tax free lump sum from your DB section of the Plan. If you have DC (Defined Contribution) savings then you can take a cash free lump sum from this section of the Plan subject to the Plan's rules, associated checks and conditions).

 

If you wish to continue with any full or partial transfer then simply complete the transferring in benefits form and send this to our administrators who will be able to talk you through the process.

 

For Defined Contribution (DC) elements of your Pension (Core DC and auto-enrolled):

Standard Life
Corporate Pensions
Standard Life House
30 Lothian Road
Edinburgh
EH1 2DH

Tel: 0345 60 60 077

Or Email: corppen_service@standardlife.com

 

For ex-final salary / Defined Benefit (DB) elements of your Pension:

Team – Telefónica Pensions Administration
Lane Clark & Peacock LLP
St Paul's House
Winchester
Hampshire
SO22 5AB

Tel: 0800 731 2638

Or Email: Team-TelefonicaAdmin@lcp.uk.com