Releasing part of a local authority pension at fifty, what percentage of the transferable sum is released?

Answer 1

If you are transferring the Pension into a SIPP or other private pension, and are then Retiring, you can take up to the maximum 25% as a Tax Free lump sum - the rest either has to be managed in the SIPP by yourself or you have to purchase an Annuity.

If you are not actually transferring out of the local authority scheme, then the Scheme rules apply (not all Schemes allow the full 25%).

I highly recommend you talk to the Scheme Trustees before transferring out - in many cases some cowboy 'Consultant' will recommend transferring to some poor value insurance company fund so they can get their hands on the massive Commissions (we are talking THOUSANDS of ££'s here) that will be paid out of YOUR pension money ....