- Bolt to roll out and contribute towards pension scheme for PHV registered drivers.
- Move comes after Bolt surveyed thousands of drivers on their attitudes towards and priorities when working in the ride-hailing sector.
- In an industry first, Bolt has partnered up with Aviva and designed its scheme to cover all PHV registered drivers’ trips by removing minimum and maximum earnings requirements and will cover all joining costs for drivers opting in.
The decision comes after Bolt conducted the largest independent research project ever into the attitudes of drivers in the UK ride-hailing sector. In line with their clear preference, PHV registered drivers using Bolt will remain as independent contractors with full flexibility to choose when and how often they work while having access to all the benefits of a pension scheme and additional contributions from the platform.
The scheme, which opens from 1 May 2024 and is provided by Aviva, will see drivers contribute 5% of earnings from every trip into their pension pot, to which Bolt will add a 3% contribution.
Unlike schemes offered among major platforms, Bolt has worked with Aviva to ensure the scheme is not limited to the qualifying earnings criteria normally applied to worker pensions (minimum £120 and maximum £967 per week).
This means that every journey on registered PHV drivers’ accounts will be eligible for the 8% pension contribution, regardless of how much they use the platform. Bolt will also cover all joining costs for drivers who want to opt in to the scheme. The scheme also gives drivers the option to invest in a Sharia fund.
Emily Dalton, UK Senior Operations Manager – Bolt, said:
“We’re delighted to announce our partnership with Aviva in launching a new pension scheme for Bolt’ PHV registered drivers. Last year we spoke to thousands of ride-hailing drivers across the UK which gave us unique insight into what matters to them. The feedback from drivers was clear — while they value the flexibility of self-employment, more support from our industry in helping them plan for the future and increase their financial security was crucial. This development means most drivers across the UK ride-hailing sector now have access to a market leading pension scheme.”
Emma Douglas, Director of Workplace Savings & Retirement at Aviva, said:
“We’re proud to have worked with Bolt to develop an innovative pension scheme for self-employed PHV drivers registered on Bolt’s platform which allows for the flexibility they want right now, along with offering financial security in retirement. By adapting our standard pension solution to the bespoke needs of this sector, we’re helping our customers get ready for better financial futures.”
Driver FAQs
(In conjunction with Aviva)
Why is Bolt offering a pension plan?
- Bolt regularly collects driver feedback and you have told us you could see value in having access to more financial benefits.
- To ensure we keep up pace with your demands, we have opted to upgrade our offer to you from 1 May 2024. Our decision now means you have access to similar option across the industry, regardless of what platform you choose to drive on.
How do I join?
- From May 1 2024, you can apply to join via the Bolt Driver App. You can also enrol by selecting the Pension section when you sign into your Bolt Driver portal. Please remember to read the important documents before deciding to join.
- Participation in the pension scheme is entirely optional and operates on an opt-in basis. You must actively choose to enroll in the Program by explicitly opting in to be enrolled into a pension scheme. You will not be automatically enrolled..
Why we chose Aviva
Who are Aviva?
- Aviva provide pensions for some of the UK’s best-known companies, offering a range of investments and support for over 4 million pension scheme members in more than 26,000 schemes.
- They’ve been around for more than 325 years and have over 18 million customers in the UK, Ireland and Canada. Aviva are trusted in the industry and have consistently strong ratings in the UK from major credit rating agencies including S&P and Moody’s.
Why were Aviva chosen as the pension partner for Bolt?
- Aviva were selected due to their all-round offering, including: their technology driven platform, app-based access, freedom for drivers to update their own funds and retirement age, and their highly performing default fund. Aviva also have excellent options for other investment funds, such as a Sharia option.
How does the change to Aviva affect me?
Can I continue making payments into my Aviva plan after I stop providing a driver service to Bolt?
- Yes, you can make payments directly to Aviva by setting up a regular direct debit or by making payments via bank transfer. This can also be done while you are providing a driver service to Bolt. However, Bolt will only add a 3% contribution to payments earned via Bolt.
Can I increase or decrease the current rate of 5% which will be deducted from my driver payments?
- Not currently – The rate which is deducted from your driver payments is currently fixed at 5%, as is the additional contribution of 3% made by Bolt. On top of this, the government will add tax relief so you will see 10% of your driver payment invested in your pension.
Are only new payments being invested with Aviva?
- Yes – You will have a new plan with Aviva, with a starting fund value of zero. All pension payments earned on Driver payments from 1st of month following application to join will be directed here.
If I don’t join the Aviva plan immediately, will I be given another opportunity in the future?
- Yes, you can join the Aviva plan at any time using the Bolt Driver App. First pension payments will be taken from Driver payments earned from 1st of month following application to join.
How does the Aviva pension plan work?
Where will my pension payments be invested?
- You will automatically join into the default investment solution within the Aviva plan, which is called ‘My Future Lifetime Investment Programme’. This has a 15 year glidepath (a de-risking process to reduce stock market exposure as people get closer to retirement). Further details are included in the investment brochure https://library.aviva.com/ngs62979b1.pdf
- There are a number of different individual funds you may invest into at any point using your Aviva account.
What are funds?
- Funds are where your money is invested when you pay it into a pension scheme. When your money goes into funds, Aviva pools your money with that of other investors and invests it with the aim of growing your pension savings. Pooled funds are a way of putting sums of money from many people into a large fund spread across many investments. Funds are managed by investment professionals. Investing this way can be easier and less risky than buying shares directly, for example.
- With many pensions you can usually choose which funds to put your money into. There are many different types of funds, giving you plenty of options to choose from. If you’re not sure which one(s) to pick, a financial adviser will be able to make recommendations for you. If you don’t make an active investment choice your payments will be invested in the default investment option.
- Different funds take different levels of risk. A lower risk fund might aim for steady growth over a long period of time with a lower risk of losing money. A higher risk fund will usually be aiming for higher long-term growth but there is also a greater risk of losing money.
- The types of assets that a fund invests in are an important factor in the returns you’re likely to get and the amount of risk that you’re taking. A higher risk fund might invest in shares of companies in either the UK or overseas which have the potential to provide good long-term returns, but which are also likely to see large ups and downs in value. A lower risk fund might invest in fixed income assets, and therefore government bonds. These assets are regarded as lower risk assets than company shares and tend to perform better when the economy isn’t doing as well. However, as with all investments, your money is at risk.
Can I select my own investment funds?
- Yes. You may change (redirect) how your payments are invested or switch existing funds free of charge typically (although buying stocks and shares will have some trading fees, for those who wish to do so), but bear in mind that alternatives to the default may carry higher fund charges.
- You would also need to be mindful of the fact that glidepath (a de-risking process in the default fund to reduce stock market exposure as people get closer to retirement) could be lost in the event of self-selection.
- You will have a window of opportunity to change how your payments are invested before the first pension payment is made into your account with Aviva.
Will Bolt have a Sharia pension option available for drivers?
- Yes. Aviva, our pension provider, has a range of ethical funds available, as well as an externally managed Sharia fund (Aviva Pension MyM HSBC Islamic Global Equity Index), which only invests in companies that meet Islamic investment principles.
What is the plan’s default retirement age?
- 66 – This is in line with the current State Pension Age. You will be able to change this at any time yourself online to fit in with your own retirement plans. You may want to bear in mind that the State Pension Age is due to rise again to 67 between 2026 and 2028.
Can I change the default retirement age?
- Yes – you can bring your retirement age forward or move it back. You can usually take your benefits from the minimum pension age. This is currently age 55. From 6 April 2028 this will be age 57 unless you have a protected pension age. To find out more visit www.aviva.co.uk/nmpa.
What happens when I reach my retirement age?
- Once you’ve paid money into your pension savings, your money can normally only be accessed and used to provide pension benefits from the minimum pension age. This is currently age 55. From 6 April 2028 this will be age 57 unless you have a protected pension age. To find out more visit www.aviva.co.uk/nmpa.
- It is important to remember that there are two separate stages to a pension scheme. The first is the money you build up in your pension scheme from the payments you invest. The second is the retirement benefits you access yourself from the pension savings you have built up.
- You can use your pension savings to provide retirement benefits. There are different options available, and you should take financial advice or guidance before choosing your option(s).
- As you approach your chosen retirement date, or when you tell Aviva you wish to take your benefits, they will inform you of your options and the pros and cons of each. Help is also available from the government’s MoneyHelper service. This government service offers free and impartial guidance on your retirement options, either over the phone or face to face.
You can find out more here.
Tax benefits are subject to change and individual circumstances.
How can I monitor and manage my Aviva pension?
- Aviva will send you an annual pension fund statement. This statement shows you how much you’ve invested to date, and the current value of your pension savings. You can also monitor and manage your pension online at any time by logging into your online MyWorkplace account.
What do I do if I already have another pension plan, do I have to leave?
- No, if you already have other pension schemes, e.g. with other ride hailing operators, you will not have to leave those schemes to take advantage of Bolt’s scheme.
- If you want to transfer any existing pensions to your Bolt Driver plan, you can do this by contacting Aviva.
- The choice is yours. There’s no guarantee you’ll be better off by transferring. If you do think transferring your existing pension is an option for you, we recommend you seek independent financial advice to make sure that you won’t be losing any valuable benefits or guarantees that your existing scheme may provide. In some cases, you may be required to obtain advice for which a fee will be charged before proceeding.
What is the difference between My Money, My Workplace, and My Aviva?
- Whilst your full journey takes shape, it might be helpful to explain some of the key areas you might be looking at around the new pension arrangement, especially as the word ‘My’ is used so often:
- My Workplace – this is the app you can download as a member of the new Aviva scheme. It is designed to be the central phone/device-based tool, with which you can control and monitor your new pension account.
- My Aviva – if you have had any other Aviva policy in the past, there has been a member-based app called My Aviva for over a decade. You may access this from your ‘My Workplace’ app. And if you have a My Aviva account already, you will have access to My Workplace via the same login – so it is simple.
What happens if I stop providing driver services to Bolt or opt to leave the plan?
- Your Aviva products, including your pension, belong to you. When Bolt notifies Aviva that you have left the plan, Aviva will send you a pack to your home address which details your options, as well as providing contact details should you have any questions.
Will Bolt be able to see my account?
- No – only you can access your individual secure account.
How much does it cost to join the pension scheme?
- The cost of joining the scheme is £20. Bolt has decided to subsidise the cost of joining the scheme.
Can I opt out and back into the pension scheme?
- Yes, you may opt out and then back into the scheme a maximum of two times per calendar year. If you do opt back in, then Bolt will not cover the cost of the £20 entry fee.
What if I have more questions?
Will Aviva run any presentations about the new plan?
- Yes, Aviva will run online webinars which you can sign up for. The webinars will offer an opportunity to ask questions on the new plan. Please register your interest in any of these sessions, a pre-recorded version will be available on the Bolt microsite provided by Aviva.
The dedicated Bolt pension microsite provided by Aviva is also available and contains helpful information.
What if I have a question more specific to me?
- If you have any questions about your Aviva plan you can contact them by emailing mymoney@aviva.com or by calling 0345 604 9915.
Where can I go for financial advice?
- You can get financial advice from a financial adviser in your area by visiting the Money Helper website
- If you need financial advice relating to investments, pension or retirement options, please speak to the Aviva financial advice team who may be able to help. If they can’t help, they can put you in touch with one of their advice partners. Call Aviva on 0800 092 2585 or if you’re short on time you can book a call back with one of the team. For more information visit the Aviva Financial Advice page.
