Do you have a forgotten pension somewhere?
Posted by siteadmin on Friday 6th of October 2017.
Recent research from Royal London has found that around five million people in the UK have ‘forgotten’ pension pots from final salary schemes of former employers.
What’s more most of these deferred members don’t know the value of their benefits, thanks to a lack of communication from the providers of their old schemes. Some schemes are diligent in keeping in touch with deferred members but many don’t bother. Contact is most likely to be lost where the former members change address, without notifying the scheme or the previous employer. Many former members may dismiss the thought that they have benefits from an old employers scheme, perhaps not realising that most defined benefits schemes will have the benefits revalued each year in line with inflation. So there could well be tidy sums waiting to be claimed.
As many people are unaware that they are holding valuable pension assets, potentially worth a six figure sum, the researchers emphasise that those who are members of these schemes should take steps to track down and discover how much their pensions are worth, as well as seeking impartial advice on what to do with the money. A good place to start is The Pension Tracing Service set up by the Department of Work & Pensions. This is a free service that enables people to search a database of more than 320,000 pension scheme contact details.