MERCHANT NAVY PENSIONS
Traditionally, most British merchant seafarers have been members of an industry-wide pension scheme rather than a scheme run by a single employer. There are several industry-wide schemes aimed at different groups, and most involve a contribution from an employer as well as from the member. In addition, many seafarers do now have access to a scheme run by their own employer.
Details of the pension scheme you are eligible to join can be obtained from your employer or the Nautilus official dealing with your company. The industry-wide schemes are as follows:
Merchant Navy Officers’ Pension Fund (MNOPF)
The MNOPF was founded on 1 January 1938 and has provided generous benefits to its members for over 60 years. Most of today’s retired British Merchant Navy officers receive their pensions from this scheme.
The MNOPF has two sections: Old (closed on 5 April 1978) and New (from 6 April 1978). The New Section is now closed to new members, although service continues to accrue for the remaining contributing members. The New Section is a defined benefit scheme, based on career average salary, meaning that members are guaranteed a certain level of income on retirement.
Merchant Navy Officers’ Pension Plan (MNOPP)
The MNOPP is a defined contribution scheme, meaning that members and their employers pay into a fund which is invested in stocks, gilt-edged securities, shares etc. When members retire, their pension pot (the size of which is dependent on investment performance and is not guaranteed) is used to buy an annuity which gives them a regular income. The MNOPP has been the main option for seafarers and their employers since 1996.
Merchant Navy Ratings’ Pension Fund (MNRPF) and Merchant Navy Ratings’ Pension Plan (MNRPP)
The MNRPF, a defined benefit scheme, was founded in 1978 and closed to new members and future accrual in 2001, when it was replaced by the defined contribution scheme MNRPP.
The Maritime Stakeholder Plan (TMSP)
TMSP was established for Merchant Navy officers and ratings who do not have access to an employer-sponsored pension scheme such as the MNOPP or MNRPP. It is a defined contribution arrangement.
Nautilus International has a major say in the running of the MNOPF and MNOPP, and was the founder of TMSP. Day-to-day administration of all the schemes except TMSP is carried out by MNPA Ltd.
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