Tim Holmes: The pros and cons of taking the DB transfer carrot

As has been widely reported, businesses are currently offering very generous incentives to cap their ever spiralling defined benefit (DB) pension liabilities. This is being driven by tumbling gilt yields, which have forced up the costs of employers honouring their promises of how much income the pension will pay. Transfer values of some DB schemes have also reached eye-watering levels - with staff being offered carrots of as much as £1m cash for a DB scheme worth just £30,000. Obviously, at more than 30 times value, this can be very tempting for any individual nearing retirement - and...