financial guru stumped: stranded pot

kidmugsy

As the amateur financial guru for my extended family, I'm stumped by this one. A relative wants to lose a few pounds off the value of a with profits personal pension so that it falls below the £2000 limit for "stranded pots" commutation. I suggested moving it to another provider who would charge, say, 1% or 0.5% for the service, drawn from the pension pot.

"Which provider?" said my kinsman. Which is where I am stumped. Any suggestions?

I should add that he wants it all knocked off in this tax year while his income tax rate is favourable.

dunstonh

"Which provider?" said my kinsman. Which is where I am stumped. Any suggestions?

It wont help. If you move £2000 then £2000 will go into new one and you dont lose anything. The days of initial charges have gone.

kidmugsy

Hah! Serves him right for asking an amateur. What else might he do?