Protected pension ages in the Collective Retirement Account (CRA)

No. Quilter’s Collective Retirement Account does not contain an unqualified right in its rules to access benefits before age 57.

However, where a client transfers from another pension arrangement that already includes NMPA protection, that protection may be retained when funds are transferred into the CRA.

The way protection applies depends on whether the transfer is made as an individual transfer or a block transfer.

Individual transfer

For an individual transfer, the whole protected arrangement must be transferred. However, where multiple arrangements exist within the same pension scheme, it is not necessary to transfer every arrangement. Partial transfers of the protected arrangement do not qualify.

Where protection is retained:

• Only the transferred funds retain the protected pension age.
• Any future growth or loss relating to those transferred funds remains protected.
• Any other funds held within the CRA remain subject to the standard NMPA.

Example

A client transfers funds from a pension arrangement with a protected pension age of 55.

If 50% of their CRA pension consists of protected transferred funds:

• 50% can be accessed at age 55.
• The remaining 50% can only be accessed from age 57.

Block transfer

For a block transfer, protection applies to the entire CRA pension. A transfer will only be treated as a block transfer where the HMRC legislative conditions for a block transfer are met.

This includes:

• Existing holdings in the CRA before the transfer.
• The transferred funds.
• Future contributions.
• Future transfers.

Example

If a client has a protected pension age of 56 through a block transfer, they can access their entire CRA pension at age 56, including future contributions made to the account.

Protected pension age information can be viewed within the client's CRA.

Protections screen

For individual transfers, the Protections screen shows:

• The protected age (55 or 56).
• The percentage of the pension to which the protection applies.

For block transfers, the Protections screen shows:

• A single protected age for the entire pension.

Money In/Out tab

The same protected pension age information is also available within the Money In/Out tab.

Adviser considerations

• For individual transfers, advisers are asked to confirm whether NMPA protection applies.
• For block transfers, advisers are asked to indicate whether protection exists.
• Confirmation of any protected pension age is provided by the ceding scheme through Origo and can be viewed on the platform.
• Advisers must still enter a retirement age of 57 on the platform, even where a protected pension age exists. This is expected platform behaviour.