A number of changes to pension rules were introduced in April 2016 to give individuals greater flexibility to access their pension savings from age 55.
The new pension rules provide much greater flexibility and we offer a Pension Review to help you to find out if your current pension arrangements are right for you.
The changes have proved popular and the Pension Regulators website estimated that 100,000 individuals cashed in their final salary pensions between 1st April 2017 and 31st March 2018 and the amount of cash transferred out of Defined Benefit to Defined Contribution schemes was £20.8bn in 2017, up from £7.9bn in 2016.
Recent pension rule changes included:
- Increasing the flexibility of the drawdown rules by removing the maximum ‘cap’ on withdrawal and minimum income requirements for all new drawdown funds from 6 April 2015;
- Enabling those with ‘capped’ drawdown to convert to a new Flexi-access Drawdown fund once arranged with their scheme
- Removing restrictions on lifetime annuity payments;
Transferring pensions requires specialist financial advice and in particular transferring from Defined Benefit Pension Schemes (or “Final Salary” schemes) requires specific qualifications and specific permissions from the Financial Conduct Authority to advise on these transfers.
Not all firms of Independent Financial Advisers hold these specific qualifications and permissions, Christina Clegg Financial Planning Services, however DOES hold these permissions and so we can advise you on Defined Benefit Pension transfers as well as other types of Pension Transfer.
For more information, or if you have any questions, please do not hesitate to contact Christina at Christina Clegg Financial Planning Services Limited.