The long-term security of the pension promises made to you by the Rolls-Royce UK Pension Fund (the Fund) has always been of paramount importance for the Trustee Board.

That’s why we’re delighted to announce that, with the full support of Rolls-Royce plc, we’ve secured the future payment of all current and future benefits by entering into a ‘buy-in’ contract with Pension Insurance Corporation (PIC).

What’s happening?

Essentially, the Trustee Board has decided to use the assets of the Fund to buy an insurance policy from PIC. This guarantees all future benefit payments from the Fund for the lifetime of its members and their dependants. 

PIC are one of the largest UK insurance companies specialising in providing security for pension scheme benefits, already insuring the benefits of 400,000 pension scheme members.

What you need to know

While the Fund is currently very well-funded, this can be affected by developments that are outside of the control of the Trustee and the Company, such as movements in investment markets or geo-political factors. The buy-in with PIC greatly reduces these risks.

The buy-in contract we've signed insures all of the Fund’s remaining benefits with PIC. The Trustee remains responsible for paying your benefits and running the Fund and there's no change in the way that you contact us about your benefits.

What happens next?

This is the first step in the journey, as the Trustee Board is very likely to move to a full buy-out during the next 12 months. After buy-out, you and all members will become PIC policyholders. We’ll keep you updated here on our website as we progress towards this goal.

Most importantly, you don't need to take any action as a result of this announcement. This website is still your information hub and pensions that are in payment (or coming into payment) will continue to be paid as normal.

The media often carries stories about Rolls-Royce, and you may read about this arrangement with PIC over the coming weeks. We wanted you to hear this news from us first. You can read the full announcement at this link and it's also been posted to you. This and any future communications will also be stored in the Scheme Information page, which you'll find in the My Pension section of this site.