bobbyleo

New UK changes go into effect today.

I am 5 years away from drawing my UK police deferred pension. Is it possible to access this or is it excluded.

I want to keep it in the UK so not interested in QRPS.

Thanks.

rebs

The significant changes are to defined contribution schemes ('money purchase' type schemes) - not defined benefit schemes ('final salary' type schemes).

Some employers may allow for a transfer out of a defined benefit scheme which could allow access to the funds. I think I have read that public sector pensions have been excluded from that transfer option - but I might be wrong on that

The 2015-16 pension changes explained in 10 questions - BBC News

theOAP

According to this article in Saga, written by Paul Lewis:

"People working in the public sector, such as teachers, doctors, nurses, civil servants, firefighters, police and so on, will not be able to take the value of their pension as cash.

However, schemes in the public sector that are funded, including all the local government pension schemes, will be able to transfer out under the private sector rules, as will members of the Universities Superannuation Scheme."

Sounds as though further checking is needed to be sure of the latest on your specific scheme.

Who can and can't benefit from new pension rules?

mikemike

I am not so sure I would want to transfer any benefits from a final salary /Defined benefits scheme, not just because the pension is guarranteed.

The DBS usually has very attractive 'Death in Service' benefits up to 4 x final salary that would be paid out within the the first 5 years of the pension going into payment. One reason why some who are not relying on the pension opt to defer the benefits to later years as it acts as a very useful form of life assurance. I have a DBS and I factored the value of the scheme, with pension and death benefits as well as tax free lump sum and came to the conclusion that I would lose benefits which If I was to replace would cost me a fortune.

As always do your own research and ask about benefits payable to widows and orphans as well as to the main beneficiary.

bobbyleo

Thanks. Guess I will hang in there a little longer.