Sharing our success with you

One of the great things about being a member of Royal London is when we do well so do you, and that’s where ProfitShare comes in

What is ProfitShare?

As a mutual, we’re owned by you – our members. So, unlike a public limited company (PLC), we don’t answer to shareholders or have dividends to pay.

Instead, we think our members should share in our success. So when we do well, and if you’re an eligible policy holder, we’ll aim to boost your retirement savings by adding a share of our profits to your plan.

Who’s eligible?

If you have a pension plan with us that began on or after 1 July 2001, you’re eligible for ProfitShare. Your plan needs to be in place in April when we make the award, and must have been in force on 31 December the previous year.

If you’re a member of an occupational scheme, eligibility for ProfitShare is based on the start date of the scheme, not the date you joined the scheme.

Unfortunately, we’re not able to offer ProfitShare under our Crest Secure or Retirement Account contracts, or any self-invested retirement savings you have. Any plans set up with The Co-operative Insurance Society Limited (CIS) also won’t qualify.

In April 2017, we were thrilled to share £114m of our profits with over 950,000 eligible members and customers.

How does it work?

We’ll review our financial strength and performance at the end of each year and work out if ProfitShare can be awarded. We calculate your individual award based on the value of the retirement savings you have invested with us, and we’ll add this to a separate ProfitShare account within your plan.

This year, we wrote to everyone who received a ProfitShare award and, in the future, you’ll be able to see the value of your ProfitShare account in your annual statement. You can also find out the value of your account, which you can enjoy with the rest of your retirement savings any time after the age of 55, using our online service.

If you have an eligible plan, we’ll set up your ProfitShare account automatically – you don’t need to do anything.

How much is it worth?

Your ProfitShare award will be based on the value of the retirement savings you have invested with us on the date the award is made. Depending on how well the business performs each year, we aim to make a ProfitShare award of between 0.15%–0.25% of the value of your plan. We’ll invest this in the same investment choice as your other retirement savings to help them grow.

Click here for more information.

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