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Group Personal Pensions

Group personal pensions (GPPs)

Group personal pensions are a type of personal pension, which your employer may offer to you and your colleagues. Even though GPP are arranged by your employer, the contract still remains between you and the pension provider. Group personal pensions may have lower charges than individual personal pensions, because the provider may offer the employer a discount for the volume of policies. Your employer may also choose to contribute to your pension, but there is no obligation that they do so, unless the GPP is being used for automatic enrolment purposes.

Like personal pensions GPPs can be flexible and portable, and if you change jobs, or stop working, you may be able to continue contributing to the plan. If not, you can keep the money invested until you decide to draw your pension benefits. Or alternatively, you may decide to transfer the amount held into a new pension arrangement.

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