Struggling to decide - lump sum

allsort

I ceased working this summer aged 59, at the end of a long, time-limited contract.  I am immediately in receipt of an early retirement DB pension from my last employer.  This is a European intergovernmental pension that did not offer a tax-free lump sum. I also recently received the papers relating to my second DB pension which is payable from my 60th birthday, in early 2023.
I need to decide shortly whether to take the full or a partial tax-free lump sum from the second DB pension.
The commutation rate is 31.7.  There are good spouse benefits with this pension, but there is also a very healthy spouse provision with my other DB pension, so this is less critical as spouse has their own pension provision.  The annual uplift is linked to RPI and is capped at 5%.
My original plan had been to take both pensions and top these up with drawdown from my DC pension to give me the income I need.  This plan was looking good until the markets took a turn for the worse with my DC pension down 17% from its pre-Christmas high.  If I take the tax-free lump sum, I will need to spend some on house related things and would plan to drip the balance into my stocks and shares ISA across the coming tax years.
There is no other cash as I'm currently spending my smallish ISA investments to bridge until second DB kicks in early in 2023.  So, I'm pondering, should I leave the DC pension alone until it recovers and spend the TFLS, or should I take a partial TFLS, leaving a healthier monthly, index-linked pension?  I guess it's the classic "jam today" or "jam tomorrow" dilemma.

SMcGill

Personally I’d go with a bit of jam today AND tomorrow by taking a partial TFLS, giving your DC plenty of time to recover but not totally giving up the benefits of an RPI-linked pension. Someone who actually knows something about pensions may be along shortly with a totally different view …

Secret2ndAccount

At 31.7X you should feel free to take as much as you need. 
Suppose you take 31,700 lump sum, and draw down from it at 3%. That's 950/yr. You can increase your withdrawals in line with inflation, and there's a good chance that you end up with 15k or 30k left to be inherited by your heirs.  Leave it in the pension and you get 1000/yr, less tax, so 800/yr, stopping when you die, with nothing to inherit. Meanwhile, the lump sum is flexible - spend more now, which is what you need, and spend less later. Leaving it in the DB offers no such flexibility.
The only benefit to leaving the money in the DB is if you're not good with money. At least in the DB, you know that a pay-cheque drops on to the mat every month. That's the extent of the upside when the commutation is 31.