Private pension provider PensionBee has launched a scathing attack on the UK’s pension transfer system, publishing a report that reveals shocking delays—some stretching over 1,000 days—and calling for the introduction of a legally enforced 10-day Pension Switch Guarantee.
The report, A Switch In Time, produced with consultancy the lang cat, exposes widespread inefficiencies and rogue practices that continue to undermine consumer trust and harm retirement outcomes. While some transfers take under seven working days, others drag on for months or years. In one extreme case, a financial adviser reported a client waiting nearly three years for a transfer to complete.
These delays, the report warns, are not only unnecessary but may breach the FCA’s Consumer Duty rules, which require firms to deliver good outcomes for customers. Nearly 80% of advisers surveyed say such delays damage trust in the financial services industry, and over 95% support legislation enforcing faster switching.
The findings also show that while a handful of providers—like PensionBee—achieve average transfer times under 10 days, the worst performers average over 66 days. The report calls for urgent reform of the ‘Amber and Red Flag’ system used to prevent pension scams, which is often cited as a reason for delays.
Lisa Picardo (who is talking at our Industry Summit), the Chief Business Officer at PensionBee, said: “The system is rewarding poor behaviour and punishing consumers. It’s time for meaningful legislation, not more excuses.”
The report urges regulators and the government to introduce binding service standards, greater transparency, and penalties for persistent offenders.
This is what is fundamentally wrong with pension transfers, it is not so eaasy to move bank accounts with the bank account switch guarantee, you can switch mobile phone networks, there is no reason why switching to a better SIPP provider cannot be as simple.
Richard is the founder of the Good Money Guide (formerly Good Broker Guide), one of the original investment comparison sites established in 2015. With a career spanning two decades as a broker, he brings extensive expertise and knowledge to the financial landscape.
Having worked as a broker at Investors Intelligence and a multi-asset derivatives broker at MF Global (Man Financial), Richard has acquired substantial experience in the industry. His career began as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson), following internships on the NYMEX oil trading floor in New York and London IPE in 2001 and 2000.
Richard’s contributions and expertise have been recognized by respected publications such as The Sunday Times, BusinessInsider, Yahoo Finance, BusinessNews.org.uk, Master Investor, Wealth Briefing, iNews, and The FT, among many others.
Under Richard’s leadership, the Good Money Guide has evolved into a valuable destination for comprehensive information and expert guidance, specialising in trading, investment, and currency exchange. His commitment to delivering high-quality insights has solidified the Good Money Guide’s standing as a well-respected resource for both customers and industry colleagues.
You can contact Richard at richard@goodmoneyguide.com
