It's called ProfitShare
Explore the value that ProfitShare can give your clients.
£163m*
In April 2024, we shared £163m of our profits with eligible customers.
2m
Over 2m eligible customers have been awarded ProfitShare.
0.15%
We've increased eligible unit-linked customers' pensions savings by 0.15%.
* This is based on year ending 2023 and includes awards made to With Profits customers. These customers will receive a 1.2% enhancement in 2024.
Emma-Jane Curtis, Product Owner, explains the value ProfitShare can bring to your clients.
Transcript
As a mutual, we're owned by customers. We've got the freedom to focus on understanding our customers needs, and working to solve the problems that matter to them.
We invest in our customers, using our profits to improve our products and services so that we can strive for even better customer outcomes.
We also aim to boost eligible customers pension savings, by adding a share of our profits to their plan each year.
We call this ProfitShare.
Eight years of ProfitShare
Since 2017, we've shared over £1 billion of our profits with qualifying customers.
| 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|
| ProfitShare award | £163m | £155m | £169m | £146m | £140m | £150m | £142m | £114m |
| ProfitShare rate | 0.15% | 0.15% | 0.15% | 0.15% | 0.15% | 0.18% | 0.18% | 0.18% |
The ProfitShare amounts shown include awards made to With Profits customers.
Remember that ProfitShare isn’t guaranteed.
How we support good outcomes for our customers
It's important we strike the right balance between investing in our business, maintaining our robust financial position and the level of any ProfitShare award. We believe taking this approach helps advisers and their clients have confidence in Royal London.
We'll continue to do this to make sure we support good outcomes for customers.
We've created a leaflet (PDF) with some examples to demonstrate the impact ProfitShare could make to your clients' pension savings over time. There's also a leaflet (PDF) for you to share with your clients.
How ProfitShare works for unit-linked customers
We'll review our financial position and performance at the end of each year.
We'll work out if we can award ProfitShare.
We'll add any award to a separate ProfitShare account within customers' plans.
Customers can see the value of their ProfitShare account in their yearly statement, by logging into our online service or by downloading our mobile app.
Customers can take the value of their ProfitShare account with the rest of their pension savings.
Who qualifies for ProfitShare?
To be eligible for ProfitShare, customers must have a pension plan that started with us on or after 1 July 2001. If that's the case, we’ll automatically set up a ProfitShare account under their plan. You don't need to do anything.
If the customer's a member of an occupational scheme, also known as a company pension plan (CIMP), their eligibility for ProfitShare is based on the date their scheme began - not the date they joined.
We'll apply ProfitShare awards on the fund value as at 1 April each year. To qualify, the customer’s plan must be in force on 31 December of the previous year. Please note that since this landed on a Sunday last year, we changed this to the last working day in December. This means to qualify for any April 2025 award, the customer’s plan must be in force on Tuesday 31 December 2024.
If your client has pension savings invested in our With Profits fund, their ProfitShare will be calculated in a slightly different way. You can find more detail in the Royal London With Profits Fund factsheet (PDF).
There's no guarantee that we'll be able to award ProfitShare every year.
Unfortunately, we're unable to offer ProfitShare under our Crest Secure, Retirement Account contracts or any self-invested retirement savings. Any plans set up with The Co-operative Insurance Society Limited (CIS) also won't qualify.
FAQs
Here are some of the most common questions we're asked about ProfitShare.