Transferring out

You might decide that you want to access your Scheme benefits more flexibly. To do this, you would need to transfer them out of the Scheme to an alternative pension provider. In doing so, you would no longer have a guaranteed defined benefit pension.

However, it’s important you think carefully about your decision. Your Scheme pension is a valuable benefit and while a transfer might be attractive for some members, it won’t be right for everyone. It’s important to remember that:

• a transfer is an irreversible decision, so you must make sure it’s right for you
• you’ll stop being a member of the Scheme and won’t be entitled to any further benefits, including benefits for your family after your death, so it’s important to discuss it with your loved ones too
• you would no longer have a defined benefit pension with a guaranteed level of benefit.

Taking advice

The law requires you to seek independent financial advice if your transfer value is over £30,000, but the Trustee recommends that you always seek independent financial advice when considering your options, whatever the value.

To find an Independent Financial Adviser local to you, visit MoneyHelper. 

Beware of scams

Transfer regulations, designed to help protect savers from pension scams, mean that the transfer process can’t be rushed. XPS Administration and the Trustee need to carry out a number of checks to make sure your transfer does not show any signs of being part of a scam.

Transfers are assessed using green, amber and red flags:

• Green – it can go ahead
• Amber – you will need to get guidance from MoneyHelper (the government’s pension information service) before the transfer can take place
• Red – unfortunately the transfer will not go ahead, but XPS Administration will contact you to explain the reason for this following consultation with the Trustee.