Transferring to another pension arrangement

If you are joining another pension arrangement, you may wish to consider transferring your LGPS benefits to it. This may even be to an overseas pension scheme. You cannot transfer your benefits if you leave less than one year before age 65. An option to transfer must be made before age 64 or, if later, within 6 months of leaving.

Your new pension provider will require a transfer value quotation, which your pension fund administrator will guarantee for a period of three months from the date of calculation. Your new pension provider can then advise you of the additional benefits the transfer will buy in their scheme.

If you are considering whether to transfer benefits, make sure you have full information about the two pension arrangements; details of what your benefits are worth in the LGPS and details of what your benefits would be worth in the new pension scheme, if transferred. When you compare your options, don’t forget that your LGPS benefits are guaranteed cost of living increases.

You may wish to take independent financial advice when making this decision.

A transfer payment represents the cash equivalent value of your LGPS benefits at the time of the transfer.

If a transfer payment is made, you will not be entitled to any further benefits from the LGPS for yourself, your spouse, civil partner or your dependants nor, if you were an employee who contributed to the LGPS in England and Wales after 31 March 2008 and who left the Scheme after that date, for any co-habiting partner nominated by you.  .

Next steps: contact your pension fund administrator and your new pension provider for details of their process for transferring your pension rights.