Scheme pensions 'left islolated' under freedom and choice

Scheme pensions 'left islolated' under freedom and choice

clock

Scheme pensions have been largely ignored in the freedom and choice revolution. Claire Trott believes savers in the ‘niche market' have been left out in the cold

Money purchase scheme pensions have – it is safe to say – either been loved or hated by advisers and providers alike. This has been for many reasons, but they have all the same been used by many, although nowhere near as many as drawdown.   What's the problem? One of the issues with scheme pensions is the fact that once you have one, the only alternative option is to go to an annuity or move to another provider who can facilitate the scheme pension.  It is not possible to take the residual pot and move to a drawdown, capped or otherwise. This was because of the definitions int...

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

Editor's view: How disjointed is the government's salary sacrifice change?

Editor's view: How disjointed is the government's salary sacrifice change?

The editor's Friday Night Takeaway from 19 December

Jen Frost
clock 19 December 2025 • 3 min read
Pension reflections: Retirement's biggest moments of 2025

Pension reflections: Retirement's biggest moments of 2025

What can we expect to see for pensions next year?

Jenna Brown
clock 18 December 2025 • 15 min read
Women, wealth, and worry: How to close the retirement gender gap

Women, wealth, and worry: How to close the retirement gender gap

Julia Peake explores the retirement gender gap and suggests how it can be closed...

Julia Peake
clock 16 December 2025 • 4 min read