Pension Release Advice

Companies are singling out savers and claiming that they can help you cash in your pension early. If you agree to this you could face a tax bill of more than half your pension savings.
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This website describes our Pension Tracing Service. We are not affiliated with the Government’s Pension Tracing Service and if you have come to our site by mistake you can find the UK Government’s Pension Tracing Service here

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What is Pension Release?

‘Pension Release’, ‘Pension loans’ or cash incentives are being used alongside misleading information to entice savers to take their pension before they reach their retirement age. This type of activity is known as ‘pension liberation fraud’ and increasing rapidly in the UK.

Beware because the promise of early cash will be fictitious and is likely to result in serious tax consequences. Because of the many tax benefits received when paying into a pension, tax charges of over half the value of your pension will become your responsibility to repay due to you taking an ‘unauthorised payment’ from your pension fund. In addition, fees deducted from your pension for the transfer are unlikely to be recovered. Such fees tend to be very high and could be 20% or more of your pension savings in some cases.

What's wrong with taking a Pension before 55?

There are certain tax advantages to saving in a pension scheme. These advantages encourage people to save for retirement, and are provided on the condition that pensions aren’t accessed too early. By the time a person reaches retirement it is possible that more than half of their pension fund will be made up of tax relief.

Accessing a pension before age 55 could result in an ‘unauthorised payment’, because the way in which the money is being accessed goes against the reasons for providing tax advantages to pensions in the first place. This is why ‘unauthorised payments’ can attract significant tax charges.
Looking for a Pension Specialist Financial Adviser near you? 
Contact us today to schedule a free initial appointment to discuss your pensions options!
Transferring out of a defined benefit / final salary pension is unlikely to be in the best interest of most people.
Approver Quilter Financial Services Limited & Quilter Mortgage Planning Limited February 2025

Disclaimer

The guidance and/or information contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK. 

Beals Wealth Management and Pension-Tracing-Service-UK.co.uk are trading styles of Beals Mortgage and Financial Services Ltd, an appointed representative of Quilter Financial Services Limited and Quilter Mortgage Planning Limited which are authorised and regulated by the Financial Conduct Authority. Beals Mortgage and Financial Services Ltd is registered in England and Wales, No: 08286166. Registered Address: Unit 1 Fulcrum 2 Solent Way, Whiteley, Fareham, PO15 7FN

o Auto enrolment, Tax Planning, Inheritance Tax Planning, Estate Planning, Legacy Planning, Powers of Attorney and Pension Tracing are not regulated by the Financial Conduct Authority.
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