Variance in DC transfer times sees 'detrimental' impact to saver trust

Standardised communication recommended to aid advisers

Hope William-Smith
clock • 1 min read
Variance in DC transfer times sees 'detrimental' impact to saver trust

The variance in the time taken for defined contribution pension transfers to process is having a noticeable impact on confidence in the scheme type, the Pensions Administration Standards Association (PASA) has said.

Guidance published by the association yesterday (10 October) said some transfers were taking months to complete and processes were "lengthy and opaque".

PASA warned that schemes regulated by the Financial Conduct Authority "need to be mindful of changes - when they are transferring or receiving schemes - potentially arising out of the Consumer Duty consultation."

However, is for pensions administrators to better communicate hold-ups to all parties involved in a transfer, financial advisers included, PASA said.

The association added that time could be saved for advisers if they received required information "promptly" and in a standardised form.

"We recommend [pension] administrators adopt the industry-developed transfer template and ensure both the scheme and saver level information sections are fully completed and sent to savers' advisers on request," it stated.

More on Pensions

Exploring pensions outsourcing as a route to unlocking efficiencies

Exploring pensions outsourcing as a route to unlocking efficiencies

'Unlocks the potential for iterative improvement'

Julia Fintz
clock 24 December 2024 • 7 min read
Government confirms no compensation for WASPI women over state pension age changes

Government confirms no compensation for WASPI women over state pension age changes

DWP finds communication delays did not amount to financial loss

Martin Richmond
clock 17 December 2024 • 4 min read
Chancellor's move to pause Pensions Review 'deeply disappointing'

Chancellor's move to pause Pensions Review 'deeply disappointing'

Rachel Reeves has reportedly pressed indefinitely paused the review

Jenna Brown
clock 16 December 2024 • 3 min read

In-depth

SJP at a crossroads: Can CEO FitzPatrick reinvent the wealth giant for a new era?

SJP at a crossroads: Can CEO FitzPatrick reinvent the wealth giant for a new era?

First year marked by challenges and change

Sahar Nazir
clock 17 December 2024 • 11 min read
Sustainable financial planning and SDR: 'It is no longer optional'

Sustainable financial planning and SDR: 'It is no longer optional'

‘If advisers aren’t taking this seriously, they are in breach of the FCA rules’

Isabel Baxter
clock 28 November 2024 • 6 min read
Analysis: Advice M&A continues apace as FCA review looms

Analysis: Advice M&A continues apace as FCA review looms

Firms taking very different approaches to buying and selling

Isabel Baxter
clock 18 November 2024 • 7 min read