Unqualified right to pension

squirrelpie

muswellblue said:

I was looking at various websites. One website was wtwco.com - article ‘labours pension plan for the uk: what could change?’ (Sorry haven’t worked out how to link yet). 

Just paste the complete URL into your message:
https://www.wtwco.com/en-gb/insights/2024/09/labours-pension-plan-for-the-uk-what-could-change
But that article was written before the announcement, so it was speculation.

muswellblue

so I called legal and general about my defined contribution pension. They said as long as I apply for it before 6th April 2028 then I will have access to it (drawdown). 

I spoke to my final salary pension provider and they haven’t made any decisions yet on it. So I’m going to presume I won’t have access to it before I’m 57 to be on the safe side when making a new plan for 55. 

The people I spoke to at both companies didn’t really seem to know a lot about it. Maybe thats a general trend with a lot of the pension providers at the moment?

Marcon

muswellblue said:

so I called legal and general about my defined contribution pension. They said as long as I apply for it before 6th April 2028 then I will have access to it (drawdown). 

I spoke to my final salary pension provider and they haven’t made any decisions yet on it. So I’m going to presume I won’t have access to it before I’m 57 to be on the safe side when making a new plan for 55. 

The people I spoke to at both companies didn’t really seem to know a lot about it. Maybe thats a general trend with a lot of the pension providers at the moment?

If legislation is vague/unclarified, pension providers will be as much in the dark as anyone - hardly their fault, although members often think it is! Sadly crystal balls don't come as standard...

Marcon

Tommyjw said:

If you have a DB pensions it's incredibly unlikely your Scheme rules have age 55 as an automatic right. Like, I'm sure back when this was all first looked into our administration company had like a 1 in 100 scheme estimate.

People may think they have it, but what it usually is is discretion agreed by the Trustee and employer to not have to give blanket consent, but it's a discretionary allowance against the rules saying you need consent, and that's ultimately what determines it

...or in English, it's currently a policy (not of the insurance company variety!) to allow early retirements, usually with the caveat they are on a cost neutral basis. Policies can be changed or cancelled at any time.

muswellblue

Marcon said:

muswellblue said:

so I called legal and general about my defined contribution pension. They said as long as I apply for it before 6th April 2028 then I will have access to it (drawdown). 

I spoke to my final salary pension provider and they haven’t made any decisions yet on it. So I’m going to presume I won’t have access to it before I’m 57 to be on the safe side when making a new plan for 55. 

The people I spoke to at both companies didn’t really seem to know a lot about it. Maybe thats a general trend with a lot of the pension providers at the moment?

If legislation is vague/unclarified, pension providers will be as much in the dark as anyone - hardly their fault, although members often think it is! Sadly crystal balls don't come as standard...

I know it’s not their fault. Even said that to them. I guess when your planning your future it’s frustrating not knowing what your options are. But I don’t know much about legislation and the time scales that it takes regarding planning, implementing or clarifying. 

squirrelpie

muswellblue said:

Marcon said:

If legislation is vague/unclarified, pension providers will be as much in the dark as anyone - hardly their fault, although members often think it is! Sadly crystal balls don't come as standard...

I know it’s not their fault. Even said that to them. I guess when your planning your future it’s frustrating not knowing what your options are. But I don’t know much about legislation and the time scales that it takes regarding planning, implementing or clarifying. 

Write to your MP and complain about the problem this creates for you.

muswellblue

L & G confirmed today I will be able to access my pension at 55 in February 2028, and should still have access after April 2028. But they did say as things stand at the moment. 

Would any changes that legislation or pension providers may possibly implement have to be done by April 2026?, as the first people that turn 55 at that time may possibly not have have access to their pensions when it changes in April 2028, all be it only briefly until they turn 57,  if that makes any sense.