Straightforward, straight-talking pensions that are easy to understand, set up and manage.
There are pensions and there are Virgin Money Pensions
Virgin Personal Pension

Whatever your stage of life, it is important to plan for your future. Pensions can be a great way to save, but can be difficult to get your head around which is why we have made ours easy to understand and easy to set up.


  • Pensions are a tax-efficient way of saving for your future retirement. Every time you contribute, the Government does too
  • Our Virgin Pension is a stakeholder pension which comes with guaranteed standards
  • You can stop, start, increase or decrease your payments whenever you want to
  • Keep track of your pension 24/7 online, or by phone
  • One simple annual ongoing charge of 1% of the value of your fund


So, whether you're just starting out and looking to set up your first pension, or building on your existing retirement plans, now could be the perfect time to set up a Virgin Personal Pension.

You can start a personal pension whatever your employment status providing you are a UK resident aged 16 or over.

Remember, the value of your investment can go down as well as up and you may get back less than you invest. Tax benefits depend on individual circumstances and may change in the future. The earliest you can normally take your pension is your 55th birthday (57 from 2028).

 

How it works

Number 1

Start a pension

Generally the earlier you start paying into your pension the better. This gives you longer to build up your investment and to benefit from the long term potential of the stock market. Also, pensions are a tax-efficient way of investing for your future retirement. Every time you contribute, the Government does too.

Don’t forget you can start a Virgin Pension with small amounts and you can stop, start, increase or decrease your payments whenever you need to, giving you complete control over how much you pay.

Tax-efficient flexible payments

You can make payments by direct debit or lump sums. The good news is that the tax man will top up each payment by 25% (and higher rate taxpayers can get even more).

You pay in £80 and the tax man gives you £20 equals £100 - that's a 25% boost.

Don't forget, tax benefits depend on individual circumstances and may change in the future.

Number 2

Choose how you invest

When you invest for your retirement you need to think about how hands-on you want to be in 'growing' your investment, and 'looking after' your investment as you approach retirement.


What you need to consider

We have two options available for you to consider:

  1. Our straightforward approach means you invest your money into our Virgin Pension Growth Fund. You don't need to decide where to invest, we do it for you using our tried and tested approach.
  2. The alternative is that you choose your own funds, giving you the control to decide where your money is invested. We have designed five funds that offer you access to a range of levels of risk and potential reward.
Number 3

Make payments to build up your pot

You can start a Virgin Pension from as little as £1 and pay in lump sums or regular payments.


Ways to build up your pension pot

With a Virgin Pension you can stop, start, increase or decrease your payments whenever you need to giving you complete control over how much you pay. Please remember, stopping or reducing your payments will reduce the amount you get back from your pension.

You could consider consolidating your pensions. If you have several different pension pots, there are potential advantages if you consolidate them into one:

  • Keep track of and manage your pension savings more easily
  • You may save money if you can transfer from higher-cost schemes to a lower-cost one
  • You may open up a greater choice of investments if you're consolidating your pension pots into one flexible scheme

However, there are potential downsides to watch for too:

  • In general it is a bad idea to transfer out of a defined-benefit pension scheme – the guaranteed retirement income they offer shields you from investment risk
  • If any of your existing pension schemes offers guaranteed annuity rates, then consider the implications carefully before transferring out – if you are planning on buying an annuity with your pension pot these guarantees are valuable
  • Check whether you’ll be charged by any of your pension providers for transferring money out of their scheme

You can transfer other pensions into a Virgin Pension; however, you would need to make sure it was the right thing for you to do. If you would like more information please contact us. You should get financial advice before moving your pension schemes, unless you are confident that you understand the costs, benefits or risks involved.

If you are unsure and would like to seek independent financial advice, please visit www.unbiased.co.uk to find a financial adviser in your area.

Number 4

Checking your progress

To make sure you are on track to meet your retirement goals, it’s important to review your pension savings and estimate the income they’re likely to generate when you need to access them.

Keeping track

If there's a shortfall in your savings, the earlier you spot it the easier it may be to remedy. With a Virgin Pension you'll get statements twice a year showing the value of your pension and you can keep track of your pension 24/7 online, or by phone. Don’t forget you can make lump sum payments or increase a regular payment whenever you want to.

Number 5

Research and prepare for retirement

The earliest you can currently access your pension savings is your 55th birthday (57th birthday from 2028). You don’t have to retire or stop working to take your benefits.

From 6 April 2015 the Government made some changes to the way you can access your pension savings to make it more flexible for your needs. You now have a number of options depending on how you’d like to access your pension savings.


Your retirement options

An income for life or flexible access

You could transfer your money out to buy an annuity. This converts your pension fund into a guaranteed regular income for life. Or take a drawdown pension which lets you draw an income whilst leaving the rest invested for potential further growth. Another option is to simply take a lump sum, but this has tax implications.

Please note that Virgin Money doesn’t currently offer annuities (when you buy an annuity your pension savings are converted into a regular income for life or a fixed period) or drawdown products (lets you draw an income from your pension savings whilst leaving the rest invested).

Another option is to take an uncrystallised lump sum as cash in one go or make a series of withdrawals over time. For each amount taken, you receive 25% tax-free cash with the 75% balance taxed at your marginal rate of income tax. Virgin Money will be providing you with the option to take all your pension savings in one go or if you want to make a series of withdrawals over time, you could transfer your pension savings to a different provider who offers that option.

Pensionwise. Your money. Your choice. Backed by HM Government.

Accessing the government’s free and impartial guidance service

The government is removing the restrictions on what you can do with your pension savings. This means that you will be able to choose the option that’s right for you.

Pension Wise is a new government service that will offer people approaching retirement free, impartial guidance about their choices. You can receive Pension Wise guidance online, over the phone or face to face.

Pension Wise will provide tailored guidance to explain what options you have and help you think about how to make best use of your pension savings. It will offer information about the tax implications of different options and other important things you should think about, as well as tips on how to get the best deal, including how to shop around.

Pension Wise can help you make the decision that is right for you.

To receive free, impartial guidance from the government, go to www.pensionwise.gov.uk

Choosing the right option for you

To make your choice it is important to have all the details of your pension savings. The value of your pension varies on a daily basis, but you can receive an up-to-date valuation at any time by calling our automated balance enquiry line on 0800 917 97 91.

We have two options available for you to consider:



Our straightforward approach

  • Easy to understand, easy to set up
  • A straightforward way to invest, aiming to benefit from the long term potential of the stock market
  • Automatically moves your money into our lowest-risk fund as you approach retirement
Find out more about our straightforward approach

Or, if you prefer making your own choices

  • We have a range of five pension funds that we have carefully designed by mixing together different asset types
  • Our aim is to give you access to a range of funds offering different levels of risk and potential reward
  • As you get closer to retirement you will need to decide how to manage your pension as we will not automatically move your money into our lowest-risk fund
Find out more about making your own choices

Why Virgin Money?


  • A straightforward approach to investing
  • No hidden charges
  • 24/7 online service
  • Customer offers from the Virgin group and beyond