Listen: the ‘pension trap’ you don’t know about and why it matters

The UK’s pension transfer system is “failing millions”, a senior industry figure has warned, as a new report exposes long and unpredictable delays that routinely trap savers in outdated schemes at the very moment they most need control of their money.

Last week’s Autumn Budget, which tightened tax allowances for salary sacrifice pension contributions, has made it more important than ever for workers to stay on top of their retirement savings. Yet many of us will discover that moving our own money remains painfully slow, blocked by antiquated processes that have barely evolved in decades, according to Lisa Picardo, Pensions Expert at PensionBee.

The Faster, Fairer, Digital: The Pension Transfer Reset report warns that the industry’s failure to modernise has left pension transfers as one of the biggest barriers to consumer confidence. Savers can face months, or even years, of delays when trying to move their savings, often because of outdated manual systems and a lack of accountability among some providers.

Aston spoke to Lisa Picardo, chief business officer at PensionBee.

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