There are many reasons why people do pension transfers, sometimes it is because they have changed employer and they want to transfer pension benefits to the new employer.
UK pension transfer or switching as it is sometimes called is sometimes done as a result in poor performance of investments, issues over the security of the pension scheme, divorce, or a need to improve flexibility. Transferring pension benefits needs very careful consideration and there are many issues to consider before effecting a pension transfer from one scheme to another and we recommend that you seek professional advice before a transfer pension request is completed.
Many people decide to switch their pensions when they move jobs. This may make perfect sense but it does need careful consideration before the equity investments that have been built up for many years in the pension scheme are switched. Whether the benefits have been built up in personal pensions, stakeholder pensions or company pensions it is often worth your while taking time to consider the pros and cons of transferring your retirement investments. Many people switch pensions to do pension release to get access to the tax free cash from thier pensions. It is imperative that you seek independent financial advice before switching pensions.