With our Stakeholder Pension, you’ll have access to a range of funds at competitive rates.

  • Discounts to your charges could apply
  • Free initial setup of your pension
  • No extra charge for our pension transfer service

Annual management charge

A charge applies to money invested in funds to cover the costs of running them. This is known as the annual management charge (AMC) and is shown as an annual rate. The AMC is deducted from each fund on a daily basis, which has the effect of reducing its unit price. The AMC is sometimes referred to as the fund management charge (FMC).

The AMC for all of the funds available through our Stakeholder Pension is 1%. The government sets a maximum charge that can apply to Stakeholder pensions. It’s currently 1.5% each year for the first 10 years and then 1% each year after that. The government could change these limits in the future.


If the value of your fund(s) is over £25,000, we reduce the effect of the AMC by adding extra units to your fund(s) each month. This works out at 0.1% of the value of your fund(s) over the year. If the value of your fund(s) is over £50,000, we’ll add extra units to the value of 0.2% each year.

Important – These charges and discounts are not guaranteed. They are regularly reviewed and may change in the future.

Your options when you retire

Whether you‘re saving for retirement or about to retire, the changes in legislation on 6 April 2015 allow you greater flexibility as to how you choose to take your retirement benefits. In line with this legislation you can access your pension pot from the age of 55 (Subject to change in the future). You can take what you want - when you want it. The first 25% is normally tax free whilst the rest is added onto any other income you have in the tax year of payment and will be liable to income tax.

Depending on the size of your pension pot, you’ll be able to cash it in or you could take an Annuity (Guaranteed Income) or Drawdown (Flexible Income) from it. To access Flexible Income you must transfer to another product. Flexible income is available from both our Easy Option Personal Pension and DIY Personal Pension, also known as our Active Money Personal Pension (AMPP).

Laws and tax rules may change in the future. The information here is based on our understanding in April 2020. Your personal circumstances also have an impact on tax treatment.