Savers continue to face unnecessary delays when transferring their pensions, with PensionBee’s latest analysis of its own data revealing that some transfers take over two months to complete.

Despite longstanding concerns from regulators and consumer groups, progress remains slow, and transfer times remain lengthy for many customers.

In 2024, the average transfer time among providers that transferred pensions to PensionBee was 22.4 days, highlighting the continued inefficiencies in the pension transfer process since the Financial Conduct Authority first identified delays as a problem in 2015. The average transfer time from the ten quickest providers was 7.6 days, a stark contrast from the slowest ten who averaged 44.2 days to complete a transfer.

PensionBee has consistently recorded a transfer out time of 10 days, demonstrating that swift and efficient transfers are possible when providers prioritise customer experience and embrace digital processes.

Persistent inefficiencies in the transfer process risk further disengagement from pensions, compounding the long-term financial consequences for consumers. PensionBee’s Cost of Disengagement report explores the growing risks of failing to engage with retirement savings, highlighting the urgent need for indusrtry-wide improvements.

Slowest transfers taking more than two months

At the extreme end of the scale, XPS Administration recorded an average transfer time of 66.4 days, more than 13 times longer than the industry’s most efficient performers. Other workplace pension providers also recorded substantial delays, including Railpen (56.9 days) and the Local Government Pension Scheme (59.4 days), highlighting ongoing inefficiencies in the system.

Failure to adopt digital processes impacts transfer efficiency

While some providers have embraced faster, digital transfer methods, some pension administrators continue to rely on outdated paper-based processes, leading to unnecessary bottlenecks.

Notably, Capita and Aon Hewitt, two workplace pension administrators, persist in using only paper-based transfers, recording transfer times of 37.2 days and 24.3 days, respectively.

Meanwhile, providers such as Aviva (5.1 days), Fidelity (7.0 days), and Standard Life (8.9 days) demonstrate that swift, electronic transfers are possible, suggesting that the worst delays could be avoided with better industry practices.

Time for a ‘pension switch guarantee’

PensionBee has consistently completed transfers in an average of 10 days, aligning with its proposed ‘Pension Switch Guarantee’, which calls for all pension transfers to be processed electronically within 10 days.

Lisa Picardo, Chief Business Officer UK at PensionBee commented:

“No one should have to endure months of waiting just to move their own money.

While some pension providers are setting the standard with swift, digital transfers, others are stuck in the past, creating needless friction and delays.

This continued inefficiency not only frustrates consumers but also undermines trust in the pension system.

A Pension Switch Guarantee would bring the industry up to speed, ensuring every saver can transfer their pension quickly, efficiently and hassle-free, to better engage with their retirement and take control of their financial future.”

Appendix

Table 1: 10 slowest transfer times for 2024

Provider	Average transfer time in calendar days	Consented to transfer times being published on Origo	Workplace or personal	Provider or administrator
XPS Adminstration	66.4	No	Workplace	Administrator
Local Government Pension Scheme	59.4	No	Workplace	Provider
Railpen	56.9	No	Workplace	Provider
NatWest Cushon Master Trust	50.3	No	Workplace	Provider
Universities Superannuation Scheme (USS)	45.7	No	Workplace	Both
Virgin	41.3	No	Personal	Provider
Capita	37.2	No	Workplace	Administrator
Mercer	34.7	No	Both	Administrator
Scottish Friendly	26.1	No	Both	Provider
Aon Hewitt	24.3	No	Workplace	Administrator

Includes all ceding providers where at least 100 transfers have taken place. Includes Defined Contribution and Defined Benefit Pensions. Some providers use Origo but do not consent to having their transfer times published.

The 2024 figure for NatWest Cushon Master Trust is the average transfer time for NatWest Cushon Master Trust (36.3 days), Creative Pension Trust (63.9 days) and The Salvus Master Trust (50.8 days), as the latter two were acquired by Cushon in 2020 and 2021 respectively.

Table 2: 10 quickest transfer times for 2024

Provider	Average transfer time in calendar days	Consented to transfer times being published on Origo	Workplace or personal	Provider or administrator
Royal London	9.4	Yes	Both	Provider
Zurich	9.3	Yes	Both	Provider
Standard Life	8.9	Yes	Both	Provider
Hargreaves Lansdown	8.7	Yes	Both	Provider
Sanlam Investments & Pensions	8.6	No	Both	Provider
True Potential	7.3	No	Personal	Provider
ReAssure	7.1	Yes	Both	Provider
Fidelity	7.0	Yes	Both	Provider
Aviva	5.1	Yes	Both	Provider
Nutmeg	4.8	No	Personal	Provider

Includes all ceding providers where at least 100 transfers have taken place. Includes Defined Contribution and Defined Benefit Pensions. Some providers use Origo but do not consent to having their transfer times published.

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