HMRC figures show plunging pension freedom withdrawals

18% year-on-year decrease

clock • 2 min read

A total of 340,000 people withdrew £2.3bn in flexible payments from their pensions in the second quarter of 2020, according to HM Revenue & Customs (HMRC).

Figures released this morning (31 July) showed an 18% decrease year-on-year from the £2.8bn in withdrawals seen in Q2 2019. The July 2020 flexible payments from pensions statistics also showed a 1% increase in the number of people withdrawing cash compared to the same period in 2019. The average value of each withdrawal has decreased by 18% to £6,700 from £8,200 compared to last year, however. Aegon pensions director Steven Cameron said savers remain at risk, with money withdrawn during a downturn representing a larger proportion of the pension pot. "That means the fund doesn't hav...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

What might be in store for pensions under a Burnham premiership?

What might be in store for pensions under a Burnham premiership?

'My first hope for pensions under Burnham is stability and medium-term planning'

Andrew Tully
clock 20 July 2026 • 4 min read
Everything advisers need to know on MEES regulations and pensions

Everything advisers need to know on MEES regulations and pensions

'Commercial property still remains a highly attractive and favourable investment for the right client'

Caitlin Southall
clock 14 July 2026 • 4 min read
Retirees feel regret after rushing to take out tax-free cash

Retirees feel regret after rushing to take out tax-free cash

Chancellor urged to provide earlier clarity ahead of 2026 budget

Isabel Baxter
clock 02 July 2026 • 3 min read