Def Benefit transfer

optoutDB

bjorn_toby_wilde said:

Maybe, but surely it’s not as simple as just keeping up with inflation is it?

You also have to consider the reduction for early payment and the commutation rate on the lump sum.

The other issue would be tax. A lump sum could take a few years to move into ISAs at £20k per year.  Depending on your situation you could be paying tax on the pension too.

In my case those things are also favourable to early take. The reduction rates are fair.  I will likely have unused tax allowance up to State Pension. Lump sum can always go into tax free gold until it makes it's way into my stocks ISA.

But you are right, it does depend on your broader situation.