Article by Christina
The latest figures from Pension Bee show that pension transfer help is needed as times are getting slower.
Having studied the Oigo Pension Transfer Index, the figures suggest that transfers have got a third slower over the last two years. The average pension switch time is 14 days. This is way outside the 10 days recommended by the Financial Ombudsman Service. (This is not the time it takes to deal with a pension transfer from end to end. Only the time taken to actually approve the final switch. There are usually weeks and months of delays before this, in getting the information from pension providers.)
So, who are the worst offenders:
- Peoples Pension 40 days
- LV 36 days
- Nest 22 days
But these are only the pension providers who provide their data to be recorded. Many don’t. Others who don’t say their transfer times are:
- XPS 57 days
- Mercer 33 days
- Capita 32 days
- Towers Watson 26 days
- Aon 24 days
There are others who are as bad.
It’s not good enough, especially as the government continues to consider changes to the pension age. People are worried and need pension transfer help.
The age at which you can access their pension is already due to increase to 57 in 2028. The state pension age will also increase to 67 at the same time. Then increase to 68 sometime between 2041 and 2043.
According to a survey by TPT Retirement Solutions (FT Adviser 5/5/23):
- Over 60% of over 50’s are worried about increases in the pension age
- 20% said they were hoping to access their pension pots before they are 60.
- However, a third didn’t know what the retirement age was.
- Over 75% said they were also worried about increases to the state pension age
- Because 75% of people were intending to retire before they reach 67.
- Only 15% intend to work beyond the state retirement age.
These findings suggest that an awful lot of people need pension transfer help to look at their retirement savings if they want to achieve their goals.
That would be a better response than the current French reaction to pension age increases!
