An announcement from Ros Altmann, the former pensions minister, has been made today where she is asking for a 6-month suspension on pension transfers.
Due to the coronavirus she said, “it is impossible to be sure of pension fund values calculated due to the wild movements in the market”.
Whilst markets are unsettled and staff being out of the office during the coronavirus crisis, together with what interest rates will be in the next week or month. Pension scheme trustees and independent governance committees will struggle to understand what investments are worth.
By delaying pension transfers for 6 months would allow pension schemes to stabilise and ensure pension administrators and schemes details where correct.
The consumer may also benefit the customer in the long term by not moving in volatile markets as is the case with the current coronavirus pandemic.