What happens to any surplus in a pension fund that is wound up?

There is very unlikely to be a surplus in any scheme that is wound up. If there were to be a surplus in a defined benefit (DB) pension scheme, it would be dealt with in accordance with the trust deed and rules.

This could include increases to member benefits. In certain circumstances, part of the surplus could be paid to the employer.

Note: This content is provided as general background information and should not be taken as legal advice or financial advice for your particular situation. Make sure to get individual advice on your case from your union, a source on our free help page or an independent financial advisor before taking any action.