Pension transfer delays persist as industry struggles to improve efficiency, finds PensionBee

Savers continue to face unnecessary delays when transferring their pensions, as PensionBee’s latest analysis revealed 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, research revealed that the average transfer time among providers that transferred pensions to PensionBee was 22.4 days.

The average transfer time from the 10 quickest providers was 7.6 days, a stark contrast from the slowest 10, who averaged 44.2 days to complete a transfer.

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.

While some providers have embraced faster, digital transfer methods, some pension administrators continue to rely on outdated paper-based processes, leading to unnecessary bottlenecks.

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