IMI 2014 Deferred Fund
July 2025 update
The Trustee wrote to all members of the Fund in early June 2025 to confirm it is moving to buyout now that members’ benefits are fully covered by the buy-in insurance policies with PIC and Legal and General. Under a buyout policy, the same level of pension benefits is paid to members as is now through the Fund. A buyout with an insurance company is usually seen as the gold standard objective for companies and trustees who run defined benefit (DB) pension schemes like the Fund on behalf of the members.
Please see the communication you received for more information and answers to some of the questions you may have. The precise timetable of the buyout in respect of your benefits will depend on whether your benefits are covered by the insurance policy with Pension Insurance Corporation (PIC) or Legal and General. If you have any further questions, please continue to contact the Fund administrators, WTW, by phone, or email on 01737 788145 or at imipensions@wtwco.com
Fund summary
The IMI Pension Fund was established on 1 October 1970. If you’re a member, you built up pension linked to your service and salary during your career with IMI until the Fund closed to future accrual on 31 December 2010. At that date, contributing members employed by IMI at that time became ‘Preserved Employed Members’ and joined a separate defined contribution arrangement (initially the IMI Retirement Savings Plan and later the Mercer Master Trust) from 1 January 2011.
The IMI Pension Fund was split into two funds – the IMI 2014 Deferred Fund and the IMI 2014 Pensioner Fund, in 2014, following which the IMI Pension Fund was wound up. The IMI 2014 Pensioner Fund has also subsequently been wound up as it no longer has any members, following a successful buyout of all its members’ benefits with bulk annuity providers (including PIC and Legal and General). The IMI 2014 Deferred Fund is also now begun to wind up in preparation for the buyout with PIC and Legal and General. In the meantime, until all members’ benefits have been secured via the issuing of individual pension policies in members’ own names, the Fund’s Trustee remains responsible for looking after your pension benefits. Once all benefits have been secured as part of the buyout and the winding-up process has been concluded, the IMI 2014 Deferred Fund will cease to exist.
Sections of the IMI 2014 Deferred Fund
The Fund is made up of five sections:
1. The IMI Section
- Closed to new entrants from 1 July 2002.
- Closed to future build up from 31 December 2010.
2. The Facsimile Section
- Made up of members of the ICI Pension Fund before 6 April 1980.
- The rules of the Facsimile Section were established to mirror the rules of the ICI Pension Fund.
- All members of this section have now been bought out of the fund.
3. The Main Section
- For most new entrants from 1 July 2002 until the Fund closed to new entrants on 31 December 2005.
- Incorporates the liabilities transferred from the former MKR Holdings Ltd and Associated and Subsidiary Companies Retirement Benefits Scheme brought into the Main Section on 1 July 2002.
4. The Senior Section
- Includes the liabilities transferred in from the former IMI Supplementary Pension Fund.
5. The FCX Section
- Includes the liabilities transferred in from the former FCX Retirement Benefits Plan
Annual Pension Increase
Your pension increases each year on 1 January by the annual rise in the Retail Price Index measured to the previous September. Pension built up from 1 January 2006 increases by a maximum of 2.5% and pension built up before 1 January 2006 increases by a maximum of 5%. Exception to this is the MKR Section, where increases apply on 1 April each year.
Main Section
| Date | % |
|---|---|
| 1 January 2025 | 2.7 |
| 1 January 2024 | 5 |
| 1 January 2023 | 5 |
| 1 January 2022 | 4.9 |
| 1 January 2021 | 1.1 |
| 1 January 2020 | 2.4 |
MKR Section
| Date | % |
|---|---|
| 1 April 2025 | 2.7 |
| 1 April 2024 | 5 |
| 1 April 2023 | 5 |
| 1 April 2022 | 4.9 |
| 1 April 2021 | 1.1 |
| 1 April 2020 | 2.4 |
Trustee Board
The Trustee of the IMI UK pension arrangements is IMI Pensions Trust Limited. The Directors of the Trustee Company are:
| Company Nominated Directors | Year Appointed |
|---|---|
| Greg Croydon - Former Group Pensions Director | 2006 |
| John Jones - Head of Reward & Sustainability | 2019 |
| Member Nominated Directors | Year Appointed |
|---|---|
| Chris Dunn - Service Engineer | 2017 |
| Jennie Cooke - Senior Applications Consultant | 2009 |
| Krisztina Strath - Best Practice & Development Manager | 2011 |
Actuarial Valuations of the IMI 2014 Deferred Fund
As at 31 March 2021, the Trustee asked the Fund's actuary to conduct a full actuarial review of the funding levels. The actuary also provided interim updates as at 31 March 2022 and 2023. The actuary produces a valuation based on the position where the funds are deemed to be ‘self-sufficient’. ‘Self-sufficient’ means well-funded with so little investment risk that the Trustee would not need to rely on IMI in the future for any further contributions and would be approaching the point where all the liabilities could be bought out with insurance companies, thus minimising the risk on the Members' benefits.
A summary of this funding level is shown in the table below. On the Trustee’s key measure of self-sufficiency, the funding position fell from 114% to 101% for the year to 31 March 2023.
The Trustee and IMI Plc, as the Fund’s sponsoring employer, agreed to commence the winding-up of the Fund in May 2025 in preparation for the upcoming buyout. The next three-yearly actuarial valuation would have been due to be carried out as at 31 March 2024, but because the Fund is now being wound up, no further actuarial valuations are needed.
IMI 2014 Deferred Fund - Self Sufficiency Basis
| Year Ending | Assets (£m) | Liabilities (£m) | Surplus / (Deficit) £m | Assets / Liabilities % |
|---|---|---|---|---|
| 31 March 2024 | 318 | 325 | (7) | 98% |
| 31 March 2023 | 365 | 360 | 5 | 101% |
| 31 March 2022 | 616 | 538 | 78 | 114% |
| 31 March 2021 | 588 | 582 | 6 | 101% |
Report and accounts
Here you can find a summary of the accounts for the IMI 2014 Deferred Fund. You can download the full report and accounts for the last three years here:
IMI 2014 Deferred Fund 2024 accounts
IMI 2014 Deferred Fund 2023 accounts
IMI 2014 Deferred Fund 2022 accounts
Summary Funding Statements
Here you can find annual updates on the IMI 2014 Deferred Fund's funding position:
Summary Funding Statement as at 31 March 2023
Summary Funding Statement as at 31 March 2022
Summary Funding Statement as at 31 March 2021
Statement of Investment Principles
Here you can read the Statement of Investment Principles for the IMI 2014 Deferred Fund. This includes information about the Trustee's investment strategy:
IMI 2024 Deferred Fund Statement of Investment Principles
IMI 2023 Deferred Fund Statement of Investment Principles
Engagement Policy Implementation Statement (EPIS)
Here you can read the Engagement Policy Implementation Statement (EPIS) for the IMI 2014 Deferred Fund. This documents the actions of the Trustee to achieve certain policies and objectives outlined in the Statement of Investment Principles (“SIP”)
Fund Benefits
The benefits the Fund currently provides are set out in the Trust Deed and Rules and are summarised in the Fund booklets. While every effort is made to ensure the accuracy of the information in these booklets, in the event of a discrepancy the Trust Deed and Rules will override the booklet.
If you have any questions about your benefits under the IMI 2014 Deferred Fund, please get in touch with the Fund’s administrator, Willis Towers Watson:
Email: imipensions@wtwco.com
Telephone: 01737 788145
