This year, our focus has remained on improving the experience of our members and maintaining the security of your UKRF benefits.
Here’s what we’ve been doing this year to progress these goals.
Keeping an eye on the figures
Every year we track the UKRF’s finances to help ensure there’s enough money in the UKRF (our assets) to pay for members’ benefits (our liabilities). Our latest interim financial check shows that the UKRF remains in surplus, meaning we’re expected to have more than sufficient assets to meet our liabilities. The amount of this surplus was £1.8 billion at 30 September 2024, giving us a funding level of around 108% (down slightly from 109% in 2023).
This financial check is only a snapshot in time, and we know funding levels will fluctuate. The value of the UKRF’s assets has increased over this period, but so has the cost of our liabilities. Even so, our funding position remains resilient, demonstrating that our long-term strategy of aligning the UKRF’s assets to expected liabilities is working.
As part of our interim check, we also tested against strict criteria the agreement made at the last triennial valuation to pause Barclays’ contributions and can confirm that this pause will continue for a further 12 months. Barclays remains obliged to provide financial support should we need it in the future, including a pool of assets sufficient to secure any deficit in the UKRF that may unexpectedly arise. Read more about these arrangements and how we maintain the stability of our funding position.
£1.8bn
surplus at
30 September 2024
Focused on the future
Protecting your benefits and investing responsibly
As stewards of the UKRF’s assets, we have a responsibility to protect long-term investment value, with the overall aim of being able to pay for members’ benefits, both now and in the future. We’re constantly monitoring potential issues that could affect the UKRF’s ability to achieve sustainable long-term funding.
Climate change is one of the biggest risks we face, and we’ve set out our ambition for the UKRF’s investments to halve greenhouse gas emissions by 2030. Our formal climate report outlines what we’ve done so far, and what we are doing now, to reach our climate goals.
Responsible investments that focus on climate change, sustainability and environmental issues are an area of finance that is developing quickly. During 2024, we carried out a full review of the UKRF’s responsible investment strategy to make sure it continues to meet the needs of the UKRF, and we will be updating our Responsible Investment Policy in 2025 to include the outcomes of the review.
Making further improvements to your experience
An ongoing priority for the Trustee is to look at the support and service we provide to you throughout your time as a member of the UKRF. We recognise that every member’s needs are different.
While our digital-first approach gives you a more personal experience, there are other options in place to enable you to connect with the UKRF in the way that suits you best, such as the tailored communications support available through special formats, like audio and Braille.
We’ve also set up a dedicated Defined Contribution (DC) Committee to look at how we support members with DC benefits in the lead up to retirement, as well as how we respond to legal and regulatory requirements for DC pension schemes and any new opportunities these present.
Are you in sync?
Remember, it’s up to you to check your investment choices regularly to make sure they’re suited to your attitudes to risk and aligned with your future plans. This becomes even more important as you get closer to retirement. Log in to your pension account to find out more about your options. The Investment Guide and fund factsheets are useful resources to help you.
Working for you
To look after your UKRF benefits effectively, we need an experienced and diverse Trustee Board. Since my last update, we’ve been joined by two new directors who bring valuable skills and knowledge to the Board – and I am delighted to welcome Paul Taylor and Richard Craine.
Paul Taylor joined us in September 2024 as a new Member Nominated Director after a selection exercise. The Trustee Board was impressed by the number of high-quality candidates who put themselves forward for the role and would like to thank everyone who took part in the process.
Richard Craine has joined the Trustee Board as a Management Appointed Trustee Director.
We also said goodbye to Keith Taylor (no relation to his replacement, Paul Taylor) who has made an outstanding contribution to the Trustee Board over the years, as well as Jason Morgan who has resigned as a Trustee Director on leaving Barclays. Both have brought valuable insights and knowledge during their service. I would like to thank them for their service and hard work and wish them every success for the future. We now look forward to working with Paul and Richard.
The UKRF relies on the support of a great many individuals and advisers, including our executive team, the UKRF’s administrators, and our professional experts. Thank you for your continued efforts to ensure the UKRF runs smoothly.
Retire online
Before you can retire, there’s lots of paperwork to complete. To help make this process clearer and faster, later this year we expect to launch an online system that allows most members to complete their Defined Benefit paperwork electronically. We’ll let you know when this is live.
Changes to the UKRF
Government banking reforms in 2013 mean that ring-fenced banks cannot share pension liabilities with non-ring-fenced banks after 2025. The Trustee and Barclays have been considering carefully how best to meet this legal requirement.
The Trustee wrote to all members in January to tell them about the intention to make a change to the UKRF from 1 July 2025. Your benefits are unchanged and secure, and your membership of the UKRF will not be impacted. Log in to your pension account and go to the News & Information section for further details, including responses to Frequently Asked Questions.
What is a ring-fenced bank?
The UK banking reforms in 2013 required banks like Barclays to separate retail banking services (like personal and small business accounts) from investment banking activities. The separation is designed to protect customer deposits and ensure the ongoing stability of the retail banking system more broadly. Essentially, it creates a "ring fence" around retail banking operations to shield them from potential financial risks associated with investment banking.
Eileen Haughey
Chair of the UKRF Trustee Board
February 2025