Should I consolidate my old pensions?

Sometimes. It can cut charges and make a plan much easier to manage, but older schemes can carry guarantees worth considerably more than the convenience of tidying up.

What consolidating gains you

What can make consolidating the wrong move

These are the features worth checking on every old scheme before anything is transferred. Any one of them can be worth more than the whole benefit of consolidating.

Guaranteed annuity rates
Common on pensions sold in the 1980s and early 1990s, and often at rates no modern product comes close to. Transferring gives the guarantee up.
Protected tax-free cash
Some older contracts allow more than the usual 25% tax-free, and the protection is normally lost on transfer.
A protected retirement age
A handful of older schemes let you take benefits before the normal minimum age. That protection can also be lost.
Defined benefits
A final salary or career average scheme is a promise of income, and moving it is a different decision entirely.
Exit penalties
Some older contracts still carry them, and they can be substantial before a particular date.
Employer contributions
Consolidating a current workplace scheme usually means losing the employer contribution, which is the best return available to most people.

Related questions

How many pensions is too many?

There is no number. The question is whether you know what each one is invested in, what it costs, and who gets it if you die. If the answer is no, the problem is visibility.

Will consolidating lose me money?

It can, if it gives up a guarantee, triggers an exit penalty, or moves you from a cheap old scheme to a more expensive new one. That is exactly what the checking is for.

Can I move my current workplace pension?

Usually you can, but you would normally stop receiving the employer contribution, which is rarely worth it while you are still employed there. Consolidating previous employers' schemes is the more common move.

Does consolidating improve performance?

Not by itself. What it can do is let one strategy be applied to the whole amount, at a lower total cost, which is a different thing from a better return.

Where this fits

Every scheme gets checked for those features before anything is recommended, and where the answer is to leave one alone you will be told so plainly.

Start with a free conversation.

Tell us what is on your mind: a pension you have lost track of, a fixed rate ending, a will you keep meaning to write. We will tell you honestly whether we can help.