How your NRDC pension works

The NRDC is a defined contribution (DC) arrangement, which in a nutshell is a retirement savings account, known as an NRDC Personal Retirement Account (PRA), consisting of contributions being paid in by both you and Network Rail. These contributions are then invested with the aim of achieving investment returns and increasing your PRA at retirement.

As an NRDC member you will benefit from the following:

  • regular contributions paid into your PRA by Network Rail. The more you pay, the more Network Rail pay (up to 7%);
  • you’ll be covered for valuable life cover and your dependants may be eligible for benefits should you die;
  • you can draw your NRDC PRA from age 55;
  • you can take a tax-free cash lump sum at retirement (with up to 25% of your PRA paid tax-free);
  • you can use your PRA to buy an annuity with an insurance company provide a regular pension income at retirement.

As a member of NRDC, you can decide how your NRDC contributions are invested. Either by selecting the NRDC Managed Lifestyle options where your investments will follow a set investment strategy. Or you can manage your investments yourself by choosing from a range of Pick ‘n’ Mix investment funds

Your NRDC PRA will be the total value of all the contributions paid in, as well as any investment returns achieved over the course of your NRDC membership, which in turn will determine the amount of pension benefits available to you at retirement.

You can view the current value of your NRDC PRA by logging in to your NRDC Member Account.