The Financial Conduct Authority (FCA) recently announced a package of measures aimed at improving advice and the transparency of fees for individuals considering a transfer from a defined benefit pension arrangement so that they can access their benefits more flexibly. For example, to personal pensions or income drawdown products.

The changes came into effect in October 2020 and will affect how financial advisers carry out and charge for their work. Advisers can charge even if they advise not to transfer, removing the conflict of interest where an adviser is not paid if the transfer does not proceed.

Usefully, the FCA has set out some key points for people to consider before taking a transfer, which can be found at www.fca.org.uk/consumers/pension-transfer-defined-benefit