What you get as a member of the UPP
Being a member of the Uniper Pension Plan (UPP) means you get a range of valuable benefits, both while you are working and once you have retired.
Please select from the options below to find out more. You will also find further details in your key features document.
How the UPP works
The UPP is a defined contribution (DC) arrangement that aims to help you build up an income for when you retire. It can also provide financial protection for your dependants.
When you join the UPP, a DC pension account is set up in your name. The money you pay in (your contributions) is then invested into a range of funds, with the aim of helping your pension account grow over time.
You have access to a range of investment funds provided by the UPP administrator, Fidelity, and other investment managers. You can read more on the investment and fund choices page or contact Fidelity if you have any questions about your investment options.
How much you receive when you come to take your benefits, will depend on how the funds perform, how much you have paid into your pension account and any deductions that have been made.
As a member of the UPP, your minimum contribution to your pension account is 3% of your pensionable salary. This is deducted from your earnings automatically through the payroll.
Your pensionable salary is your basic annual salary plus any regular payments specified by Uniper as being part of your pensionable pay.
Each year you will receive a Benefit Statement from Fidelity so you can keep track of how your pension account is building up. You can also access Fidelity’s PlanViewer to see the value and manage your pension account online.
While you are working
Making the most of your UPP membership while you are still working could put you in a better position once you retire. It is important to understand what you are entitled to, and the options available to help you on your pension savings journey.
Some of the benefits of the UPP while you are still working include:
Your employer pays in too
While you are employed by Uniper, the Company will match your contributions on a two-for-one basis, up to a maximum 12% Company contribution
So, for example, if you pay in 3% of your pensionable salary, the Company will contribute 6%, bringing your total contributions to 9% as shown in the table below.
| Your contribution | Company contribution | Total contribution |
| 3% | 6% | 9% |
| 4% | 8% | 12% |
| 5% | 10% | 15% |
| 6% | 12% | 18% |
You can read more in the contributions guide below
Tax and National Insurance (NI) relief via salary sacrifice
For most UPP members, contributions to the UPP are paid via salary sacrifice.
This is an arrangement between you and your employer, where you agree not to get a certain amount of pay and your employer instead pays this amount directly to your pension account.
Both you and your employer potentially save on NI contributions with such an arrangement (as well as you not paying income tax on the amount you contribute).
Flexible ways of saving
As a UPP member, you have the flexibility to switch your base contribution levels each year to suit your lifestyle and budget. To do this log on to the Benify platform during the flexible benefit window in March.
You can also opt to pay Additional Voluntary Contributions (AVCs) and can amend the level of AVCs you pay at any time in the Benify flexible benefit platform. Check the boosting your benefits page for more information about AVCs and other ways of saving more.
There are a variety of investment choices available for your pension account – and a default strategy if you do not feel confident in handling your investments yourself. See the investment and fund choices page for details.
As you own your pension account, there is flexibility if you change jobs too. For example, you have the choice of leaving it where it is or transferring it to another arrangement. See the changing circumstances page to find out more.
Death benefits mean you are looking out for your loved ones
If you die before taking your benefits from the UPP, the money in your pension account can currently be paid to your dependants as a tax-free lump sum or used to provide an income for them. Please keep in mind that the legislation in relation to Inheritance Tax is changing and this may impact the tax treatment of benefits provided from the UPP in future.
You can tell the UPP administrator, Fidelity, who you would like to receive this lump sum by completing an Expression of Wish form, in PlanViewer.
As a UPP member, you are also provided with a generous level of life insurance cover at a rate of six times your basic annual salary, giving valuable comfort and security for your dependants.
You can tell Uniper who you would like to receive this benefit by completing a separate Expression of Wish form on the Benify flexible benefit platform.
Visit the Expression of Wish page to find out more.
An income if you are forced to retire early because of ill-health
If you need to stop work completely due to ill-health, you may be able to take the benefits that have built up in your pension account at an earlier age than usual.
After two years contributory service in the UPP, you may also be entitled to some level of cover for the loss of income because of illness or injury under the Group Income Protection Policy. Please speak to HRUK for further details.
If you become seriously ill, you may be able to take all your benefits as a cash lump sum. Please contact the UPP administrator, Fidelity, to discuss your options.
You can also go to the changing circumstances page for more details.
When you take your benefits
As a member of the UPP there are different ways you can take your pension account.
You can read a summary below and visit the taking your pension account page for more details.
You may take up to 25% of your account as a tax-free lump sum
There is a maximum amount of tax-free cash you can take from your pension savings in your lifetime. This is called the Lump Sum Allowance (LSA). Some people might have a higher allowance if they also had a higher protected Lifetime Allowance. Visit the tax allowances page to find out more.
You can then choose what to do with the remaining fund in your pension account.
This will be taxed as earned income. Your options include:
- Leaving your find invested and taking a bit at a time (flexi-access drawdown)
- Securing a guaranteed, regular income (annuity)
- Taking one or more ad-hoc cash lump sum(s)
You may choose one of these or a combination.
Fidelity’s Retirement Service can help you review your retirement options so you can choose the option that is right for you. Visit the taking your pension account page for more details.
You may also choose to use an independent financial adviser if you prefer. Go to the help and advice page for details on how to find one.
Your dependants could be entitled to death benefits
Depending on how you have chosen to use your savings when you retire (see options above) your dependants may still get a lump sum or a pension when you die.
You can learn more about these death benefits in your UPP key features document.