Pension system slammed as some savers compelled to attend as much as six months to switch

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Your help makes all of the distinction. Learn extra Prolonged delays are inflicting some pension savers to surrender on transferring their pensions, a client group has stated.

The advantages of transferring or combining pension financial savings embody decrease charges or much less admin.

However Which? stated suppliers are permitted to take so long as six months to finish a switch request.

Some members of its Which? Join on-line analysis panel stated that they had ultimately given up on the method in consequence.

Which? stated with pensions dashboards being developed, which can make it simpler for folks to see all their pensions in a single place, extra persons are more likely to be partaking with their retirement plans.

Which? stated it's involved the present system is “not match for objective”.

The patron group stated in a single case, a 61-year-old man determined to consolidate three pension pots to make them simpler to handle. Whereas two of the transfers have been accomplished inside a couple of months, the third took 15 months to resolve.

In the course of the wait, he began to query the protection of his financial savings, telling Which?: “You do hear about pension scams, so it crossed my thoughts as issues began to tug on.”

<img src="https://static.independent.co.uk/2026/01/28/11/57/iStock-1351051540.jpeg" srcset="https://static.independent.co.uk/2026/01/28/11/57/iStock-1351051540.jpeg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2026/01/28/11/57/iStock-1351051540.jpeg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Which? said it is concerned the current system is “not fit for purpose”" class="sc-1mc30lb-0 ggpMaE"/> Which? stated it's involved the present system is “not match for objective” (Getty/iStock) When the switch lastly went by, he stated it was a “large aid”.

A monetary adviser additionally instructed Which? a few nine-month wait confronted by considered one of his shoppers.

Which? stated that normally, bottlenecks might be triggered on account of antiquated processes, usually requiring “moist” ink signatures. Generally, anti-fraud warning flag techniques can be utilized by corporations to authentic requests, it added.

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Whereas flagging schemes serve an vital operate, flags can add friction for savers, the patron group stated.

The Monetary Conduct Authority (FCA) is proposing new measures to higher help non-advised customers making switch selections, which Which? believes ought to enable for a quicker total timeframe whereas guaranteeing savers have the suitable data at their disposal at first of the method.

The reforms will suggest a 10-day data-sharing deadline, clear side-by-side comparisons for brand spanking new and outdated schemes, and an industry-wide acceptance of digital signatures.

The FCA instructed Which? its overview discovered greater than 75 per cent of sampled corporations accomplished pension transfers inside 10 days. It additionally acknowledged the brand new proposals would offer customers with “clearer, extra well timed and extra significant data when contemplating a switch”.

Jenny Ross, Which? Cash editor, stated: “It’s important the {industry} urgently will get to grips with the problems dealing with pension savers and ensures a constant service for these transferring their retirement pots.”