National Grid Share Discussion Threads

[utyinv] 03/7/2019 15:25

Veryniceperson,

Good luck👍 There are many other tasty dividend related Companies that are currently undervalued and outside the reach of Corbyn and MacDonnell.

My concern is not Corbyn as he will be gone soon IMO but the extreme left wing Marxists like MacDonnel Long-Bailey and many other younger Marxists who will try and appeal to riff-raff (want something for nothing) voters.

Trouble is, the SNP, the Greens and many other fringe parties support Nationalisation.

Once Boris or Hunt get us out of EU there will be no use for the Brexit Party and their voters will return to the main party following.

By accident, we could end up with a Marxist Gov and even if they don’t get their way in Nationalising everything they will no doubt force Ofgem to make the current dividend return impossible.

I hope I am wrong but the ‘green eyed’ values that the Marxists possess will make business difficult. AIMO only.

[veryniceperson] 03/7/2019 14:31

Just sold my holding after 6 years. Small profit and lots of dividends over the time. Sad day moving on. Ofgem getting to big for there boots.

[utyinv] 03/7/2019 12:57

10576190,

The proposed business plan doesn’t say much other than NG is using OFGEMs draconian ROE and asking for views from stakeholders as to what they recommend NG to do based on little more than 4%.

It’s easy to see that NG should tell OFGEM where to get off and invest the absolute minimum in this Country if that is how a Private well run business is to be treated by the UK regulator.

IMV NG should invest its time and money in the USA where there is an open and level playing field to business.

NG is not a charity it is a fully Privately owned business and if there isn’t any reward to work hard and invest they should sell the UK business to foreign competitors and screw Labour and their Marxists plans.

Rather sell the UK business, than as mentioned on this bb before, 1 penny of worth is given to Labour’s nasty Marxists party.

[10576190] 02/7/2019 15:21

No I think this is the reason:

hxxps://investors.nationalgrid.com/~/media/Files/N/National-Grid-IR-V2/riio-2/riio-2-draft-business-plan-submission-gas-transmission-executive-summary.pdf

[utyinv] 02/7/2019 14:46

Buywell3,

Post 7003 (20 May 2019):

Forecasting a fall to £7 and below was fortunately very wrong. Maybe down to the fact that Labour is now looking very unlikely to get any majority at the next election and the Party are now looking at Corbyn and MacDonnell as extremists and out of touch.

[bountyhunter] 30/6/2019 14:39

With annuity rates so low as a consequence of the ongoing excessively low interest rates income drawdown is looking to be a favourable option for market based pension schemes (after perhaps taking 25% tax free), at least until interest rates rise significantly from current levels if we are to live long enough to see that.

[atlantic57] 30/6/2019 13:08

1carus no one can predict the future with any accuracy.Slashing interest rates were supposed to be slashed for a temporary period.Ten years on they appear to be a permanent feature.

A German guy saved regular amounts into his Pension scheme but drew on it at the time of Economic collapse and hyper inflation in the Weimar Republic.
He cashed in his pension and bought a loaf of bread.

Am I suggesting this will happen again no I am not.
At the same time there can be no certainty as to where current policies will end up.

[newbank] 30/6/2019 12:52

1carus,

My fear is that by the time most of us, who don't yet qualify for a State pension, get to the qualifying age, the pension will be 'Means Tested'.

The way things are going and with Labour wanting to screw financially independant pensioners the unthinkable might just happen. :(

[1carus] 29/6/2019 20:33

Pvb. I kinda get your point, but anyway of banking cash without HMRC taking a chunk feels like you are getting something back.With regard to paying tax on pensions, I have planned to avoid that as much as possible by saving into isa shares since the late 90s rather than a pensio scheme, now that will be tsx free. Additional, I work for myself, and since the gov started tinkering with the dividend rules I have paid I to a pension instead. Intrrestigly my company does not have to pay corporation tax on pension contributions - and a quarter of it will be available to me in a tax free lump sum in a few years. My income from pension will be at least matched by my Income from isa activity, paying little to no tax on either.

[pvb] 28/6/2019 19:40

1carus 26 Jun '19 - 16:34 - 7117 of 7121

I think the thing
that grabbed me about the pension scheme was that the company contributes for free and the gov gave an extra 20pc. It
Just seemed the right thing to do... As soon as I started as an apprentice I was enrolled in it by default somehow.

Just one small point. The government didn't give you "an extra 20pc". Like all contributions to a pension scheme, income tax isn't charged on money going into your pension - 'cos it ISN'T your 'income'! (Try spending it.)

Hopefully, you will in time benefit - when you receive your pension income. Then, you will be charged income tax on it (allowing for Tax allowances etc.)

[atlantic57] 28/6/2019 17:24

1 November 2019 is going to be an interesting date.

[newbank] 28/6/2019 16:34

Beckers2008,

Still got Gas Transmission. They have only got rid of Gas Distn which was part of the option deal in 2017, with the option to sell remaining stake in 2019.

However, regarding the future strategy, my sentiments entirely. I have reiterated that view to JP in person many times. 'Maybe' he is starting to realise that the UK regulator doesn't want a level playing field but would rather NG be run as a charity to give to those that want something for nothing :)

I would happily pay 15% IRS tax on divi's rather than one penny to a possible totalitarian Marxist State Gov.

Unfortunately, Business investment sentiment will continue to be in the doldrums in this Country, even after Brexit, until the threat of a Marxist Labour Gov is replaced with a more sensible Centrist Socialist view which I and many Investors / professionals could live with :)

[beckers2008] 28/6/2019 11:51

NG. now out of UK gas, now only regulatory works and agreed projects that NG. quote in advance.
Soon to be over 60% of sales in the USA, I support the trend and eventually getting out of broke Britain.

"These funds will be reinvested in the business, supporting the significant capital investment programme and asset growth across the Group over the medium term"
And mostly going across the pond for a reasonable ROI.

Next step, split up the business.

[1carus] 26/6/2019 15:34

I think the thing
that grabbed me about the pension scheme was that the company contributes for free and the gov gave an extra 20pc. It
Just seemed the right thing to do... As soon as I started as an apprentice I was enrolled in it by default somehow.

[utyinv] 26/6/2019 14:00

1carus,

Well done, but not so much luck as doing the right thing.

Many young people aren’t interested in pensions etc.

When I reached 18, I was at work on my 18th birthday (as a Student Apprentice)and the Union Rep approached me and asked if it was my 18th Birthday. When I replied yes, he said stop what you are doing and come with me. I thought I had done something wrong and was in the Sh1t. He walked me over to the admin block and told the Head Personnel chap to sign me up to the pension scheme. If that Union Rep was alive today I would shake his hand and buy him a drink or two.

👍

[bountyhunter] 26/6/2019 13:20

That's one of the great benefits of final salary schemes, many of which have now been replaced by 'career average schemes' (CARE schemes) which are clearly not so good despite the fudged acronym!

[1carus] 25/6/2019 21:50

Uty... Yes I did. I would rather not say what scheme.
Here is a stat.for you. From 1984 to 1996 my average salary was something like 14k, That included apprenticeship years. My total pension contributions in that whole period was a little under 7k. I can't remember what the company put in, may be 6 %. I cashed it in close to 300k. When I got the letter from the scheme regarding the transfer value , it was genuinely a sit down moment. I was figuring maybe 180K. As I said, little did I know how life changing those early years pension payments would be. At that number, part of the decision process was " a bird in hand"... with other positions I have more than I will need in retirement, whenever I chose to retire. My best investment ever and all down to luck.

[utyinv] 21/6/2019 23:32

1carus,

What scheme were you in? Ie what Company?

From your post, unless I misread your post, did you withdraw your pension pot from your scheme?

[1carus] 21/6/2019 10:44

Ianood, I was aware of that risk also. The lump sum transfer was greater than the forecasted annual amount that I would accumulate from 65 to 91, excluding any annual interest rise, which as pointed out is generally somewhere between2 and 3 percent. However I figured that taking the cash amount 12 years before 65 and reinvesting it in a boring private pension targeting 3 to 4 percent was a better option for me. It also reduced the risk of the scheme running light on money towards the end of its life. There was stuff in the press last year that was basically complaining that the take up of the generous multiples being offered run the risk of remaining members being left high and dry in later years. I am not sure what multiples they are offering now in these schemes but for me it seemed like a reasonable choice, that gave me more flexibility in the future.

[1carus] 21/6/2019 10:16

Is that an upward trend we are seeing?

[beckers2008] 17/6/2019 16:50

NG, investing in the US again, no surprise money flows across the pond and with good reason. No investment case for the UK anymore with Ofgem bleeding NG. dry.

[utyinv] 15/6/2019 21:02

1carus,

You did well contributing to a pension scheme at 17 as most start at 18 years of age, or did. NG were plugging their deficit in the scheme as sponsoring Company by contributing 22% whilst we were contributing 6%.

But in NG’s case it won’t be long before the Scheme, which is managed by the trustees ( made up of appointed reps from company, elected existing contributing members and elected retired members) and administer by RPMI will be independent from the sponsoring Company before long, ie, NG’s liabilities are limited and soon to end.

Jonnycash1,

OK (if you insist) you are right and the pension that hits the bank accounts, each month, is a figure of imagination for many thousands in the ESI Industry👍
28514;. Also the 3 x pension lump sum that the scheme gives you, tax free (what everyone got and still gets from the scheme, many decades before the 25% rule was implemented), and, for many, is invested to add to their pension income is an illusion. Due to new 25% rules, if you take more than 3x pension lump sum your pension will be reduced. So if you say there aren’t any 40/80ths or 40/60ths then OK, you believe what you want. 🤷‍a94;️

In your rhetoric you referred to GPs, I have immediate family members who are GPs👍

If I was bothered about your understanding of the NG’s ESI final Salary Pension Scheme, I would post the scheme rules for you, or I could pass you a copy at the NG AGM on Mon 29th July at the ICC in Birmingham. 😉

[ianood] 15/6/2019 18:31

1carus - Well done! Another risk you have mitigated is having the rate of inflation adjustment being reduced from RPI to CPI which is being widely achieved with the exception of BT so far.

[1carus] 15/6/2019 17:24

My particular scheme was 40/60. Not public sector. In 2000 it was about 82pc funded for its liabilities snd had a substantial plan to get it back on track. When I exited ot was back to 100pc. However, in tje annual.news letter it warned that a change in governace could affect the plan. I am not suggezting that this was my major concern but trustees felt it wise ro point this oit every year. The scheme was something like 80% deferred members... ie most were mot claiming from it and only a handful still paying in as the scheme had been closed to new members for some time. The near 30 x multiple made sense to me and my personal sitiation. Eitherway, little did i know that my pensiom contributions i made at 17 could posdibly worth the sum of money they are today... mind boggling numbers tbh.