Can I sell a small pension?

[TaketheCannoli]

My initial research isn't conclusive and I know there are people here who understand the industry.

I have a small private pension that I've not paid into for 25 years. The most recent statement suggests a value of around £6k giving an annual pension of tuppence on maturity.

I could make much better use of a few grand now than in ten years time (when I'm 55) so wondered whether it's possible to sell the pension? Obviously I'd be happy to take a hit on the value.

Thanks in advance.

[Neil.C]

I don't believe you can sell a pension.

Please be aware of unscrupulous people who say you can and you end up with nothing after their costs.

Wait until you are 55 and take it as a trivial pension lump sum.

Of course it will be taxable after the first 25%.

[welshlad]

I agree with what Neil said. Although I think you have to wait until you're 57 not 55 (access is from 10 years before your state pension age).

It's annoying that you can't get your hands on it now. But if it's a relatively trivial part of your retirement planning, you could have some fun with it, investing it in some more speculative investments, trying to build it up more significantly, but accepting the downside risk. Just a thought.

[aldfort]

https://www.pensionsadvisoryservice....-cash-lump-sum

You may be able to take the whole of your pension as a small pot if:
•you’re aged at least 55, or you are retiring at an earlier age because of ill-health; and
•the value of your pension arrangement does not exceed £10,000.

Unlike trivial commutation, you do not have to take into account any other defined pension benefits you may have, when giving up a pension for a small pot. The Government will allow you to give up three pension arrangements under the small pots rule.

[Neil.C]

I agree with what Neil said. Although I think you have to wait until you're 57 not 55 (access is from 10 years before your state pension age).

It's annoying that you can't get your hands on it now. But if it's a relatively trivial part of your retirement planning, you could have some fun with it, investing it in some more speculative investments, trying to build it up more significantly, but accepting the downside risk. Just a thought.

That's a sound idea and what I did, transfer your pension into a SIPP and manage it yourself.

[TaketheCannoli]

Thanks folks