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Time-sensitive option for DC pension scheme members to transfer tax-protected lump sum/age rights

19 January 2015

Members who have a scheme-specific right to a tax-free lump sum worth more than 25% of their pension rights, or a protected pension age (these are tax protections relating to pre-A-Day rights) have a short window of opportunity to transfer those rights more easily than would normally be the case. This may be of interest to relevant members who want to go into drawdown rather than purchasing an annuity; you may wish to inform them so that they can seek advice on their position.