Protected Rights RPS members
Protected Rights means that an RPS members benefits must be at least as favourable as the benefits provided by the British Rail Pension Scheme, had that Scheme continued.
An RPS member has Protected Rights if:
- they were a member of the British Rail Pension Scheme, or employed by a British Rail subsidiary on 4th November 1993;
- they were not working for British Rail but exercised their statutory right or contractual right to return to employment with British Rail, and have opted to join the British Rail Pension Scheme when last employed by British Rail;
- had pension rights in the British Rail Pension Scheme, although not participating in the Scheme.
An RPS member can lose their Protected Rights status, and it is lost when they take voluntarily employment with Network Rail.
Indefeasible Rights
Indefeasible Rights is the statutory right to continue to be a member of the RPS.
An RPS member has Indefeasible Rights if:
- they were a member of the British Rail Pension Scheme and employed by the British Rail Board on 4th November 1993;
- they were not employed by the British Rail Board but have since exercised a statutory or contractual right to return to employment within the rail industry AND joined the British Rail Pension Scheme during their last employment with British Rail.
The Indefeasible Right can be lost if a member works outside of the rail industry for a period of more than six months.
Non-protected RPS members
Non-protected RPS members do not have the protection detailed above, nor an Indefeasible Right to be a member of the RPS. This would include colleagues who have been invited to join the RPS following five years continuous service with Network Rail.
What does this mean exactly?
Protected RPS members are restricted to contributing a maximum of 15% of their annual taxable earnings, including their normal RPS contributions, into their RPS pension benefits.
Protected RPS members can sign a BRASS Waiver Form which removes this restriction.
However, in doing so they give up the right of converting their BRASS 3 funds to annual pension at a rate of £12 to £1 at retirement, instead the conversion rate will be a less favourable rate as determined by the Scheme Actuary at the date of retirement.
Non-protected RPS members and also those with Indefeasible Rights do not have to sign the BRASS Waiver and can choose to contribute up to 75% of their taxable earnings.
Additionally, different early retirement factors apply to Protected RPS members. Please see the RPS60 Member Guide and RPS65 Member Guide for further information.