What are the charges?
What does it cost?
The amount you will be charged depends on the investments you choose. The charges and any rebates which apply to the investment options available to you are explained in:
Types of charges and rebates
When you have a pension there are charges for investing in funds. These charges cover the cost of managing your investments. Charges and rebates are not guaranteed. They are regularly reviewed and may be changed in the future.
Effective total annual fund charge
This is the fund management charge (FMC), plus any additional expenses which apply, minus any scheme rebate which applies.
For example, if you invest in a fund with an FMC of 1.00%, additional expenses of 0.01% and a rebate of 0.30%, this will give an effective total annual fund charge of 0.71%.
Fund management charge
Payments made to your plan are invested in funds. We apply a charge to money invested in our funds. This is known as the fund management charge (FMC) and is shown as an annual rate. However, we deduct the charge from each fund on a daily basis, which has the effect of reducing its unit price.
Even if you stop making payments into the fund, you'll still be charged the FMC because the money you've invested will still be under management.
Additional expenses
Additional expenses may be deducted from some funds. These include items such as custodian, third party administration, Trustee, registrar, auditor and regulator fees. Where a fund invests in other underlying funds, they may also include the underlying management charges.
As the additional expenses relate to expenses incurred during the fund management process, they will regularly increase and decrease as a percentage of the fund, sometimes significantly. The additional expenses figure shown is the annual rate of the charge. But where additional expenses apply, they are taken into account when the fund’s unit price is calculated each day.
All additional expenses figures are rounded to two decimal places. This means that although additional expenses may apply to some funds, they may show as 0.00%.
Scheme rebates
The Trustee has negotiated enhanced terms to give you, as a member of DC Top-up Section, a rebate on some of the amount you have invested in each fund. This is given to you as additional units in your fund each month.
You'll find more information about the different types of charges and rebates that may apply in these documents:
Centrica additional retirement savings booklet (PDF, 1MB)
Fund switching
We won't normally make a charge for switching funds. In some limited circumstances we may charge, for example if a switch involves a fund managed by an external fund manager, and that fund manager charges us for the switch.
For more information about fund switching, call the Standard Life Centrica helpline on 0800 634 7479. Call charges will vary.
Cost of advice
If you decide to get advice from a financial adviser, they may charge for this. You’ll be able to find out more about this from them.
Important documents
To help you make an informed decision we've provided you with important information that you should read. You should print or save copies of these documents for future reference.
Read this guide for more information on the DC Top-up Section. Please note, due to recent investment changes a new guide will be available in early 2018.
Read this guide for more information on the different ways you can pay into your pension, and the tax benefits and tax charges which can apply.
Information about tax relief, limits and your pension (PDF, 190KB)
Please access Mercer OneView via MyPension Hub (Workday - External Benefits) to nominate or update your beneficiaries online.
Read this guide if you are thinking about buying an annuity.
These documents have been provided by the Trustee of the Centrica Savings Plan and Centrica Pensions Plan Saving Section - Standard Life is not responsible for the content.
