Charge per payment into fund                                            5 %

5 % charge on taking money out. (25 % lump sum)
This amounts to 1 % per year based on 5,000 euros.
1 % = 50 euros. 20 years is 50 Euros  * 20 =  1,000 Euros.     1 % 
.
Charge of 0.75 % per year.                                               0.75 %

Average inflation per year.                                                3 %
                                                                                  _______ 
Total annual cost is                                                        9.75 %

They assume a 6 % growth rate for fund. Annual costs are 9.75 %.
This amounts to losing all or most of tax benefits. On retirement you also pay tax on regular pension payments.