Conditions and Timelines

If you're a deferred member – that is, someone who has previously left the LGPS with pension benefits still held in the Fund – you may be eligible to transfer your deferred benefits.

Here's what you need to know:

Transfer eligibility: You must no longer be actively paying into the scheme. If you're receiving your pension benefits or within 12 months of your Normal Pension Age (NPA), you can't transfer out
Scheme requirements: The receiving pension scheme must be approved by HMRC and willing to accept your transfer. There is no cost to transfer out.

Transfer process for deferred benefits

Log in to My Pension Online, choose "view my transfer value", then go to "transfer to another pension scheme" to start the process
LPF will perform scam prevention checks, then issue a guaranteed CETV and discharge forms
Share these forms with your new pension provider. If you proceed, they’ll request the transfer payment from LPF
Once transferred, your LGPS membership with Lothian Pension Fund comes to and end and you’ll receive no pension benefits from us.

Beware of pension scams

Should you decide to transfer your benefits, you should be aware of potential pension scams. Educating yourself and remaining vigilant are key to minimising the risk posed by pensions scams. Listed here is a summary of the Financial Conduct Authority's (FCA) four key steps to protect your pension:

Step 1

Step 2

Step 3

Step 4

Step 1 – Reject unexpected offers

Scammers are often unknown contacts who will attempt to gain your trust through false claims. They will likely claim to be authorised by the FCA and will present you with unsolicited, attractive investment opportunities in an attempt to gain control of your pension pot. In other circumstance the money may be stolen outright. If an offer seems too good to be true, it likely is just that.

Step 2 – Check who you're dealing with

Remember that it isn’t usually possible to cash in your pension before the age of 55, except in cases of ill-health or where you have a protected retirement age that is below 55. Equally, you should be wary of offers for “free” pension reviews, “guaranteed” returns on pension investments or complicated, long term investments plans. FCA regulated advisors would never offer such services and opportunities. If you’re concerned about a potential scam you should report your suspicions to Action Fraud or the Financial Conduct Authority.

Step 3 – Don't be rushed or pressured

High pressure sales tactics are a common sign of a pensions scam. You should be wary of time limited offers to get the “best deal”. Be wary of promised returns that sound too good to be true and don’t be rushed or pressured into making a decision.

Step 4 – Get impartial information or advice

If you are deciding to transfer your benefits, consider consultation with the Pensions Advisory Service or an FCA regulated advisor before doing so. Those over 50 with a defined contribution pension, should consider booking an appointment with Pension Wise.

Timelines

You can begin the transfer process anytime, provided you're not within 12 months of your NPA.

When you formally request a transfer quote, we will provide a guaranteed CETV (Cash Equivalent Transfer Value) within 10 working days. The payment will be made within 20 working days once all forms have been completed and submitted.

LPF will send the quote and discharge forms to both you and the new provider within 30 days, provided all necessary information is received. The quote will be valid for three months.