It’s no secret that pensions can be confusing, leading many people to make simple mistakes when managing their savings.
In fact, recent research by the Centre for Economics and Business Research has revealed that Brits are collectively sitting on £50 billion worth of unclaimed pension pots. This is largely due to people losing track of old workplace pensions as they move between jobs over the years.
Right now, an estimated 4.8 million pension accounts in the UK are unclaimed—either because their owners are unaware they exist or they’re unsure how to find them. Nearly one in ten workers believes they have a lost pension pot worth £10,000 or more. To put it into perspective, the total value of missing pensions is close to the UK’s entire defence budget for 2023/24 of £54.2 billion.
The situation is getting worse. The number of missing pensions has tripled from 1.6 million in 2019 to 4.8 million today, and it’s expected to rise further as younger workers are likely to have at least five separate pension pots by the time they reach retirement. In some cases, people with multiple job changes could end up with 20 or more pensions, making it all too easy to lose track.
If you think you may have a lost pension pot somewhere, or if you’re unsure given your job history, it’s worth taking action now. The good news is that firms like Jarvis offer a simple, free solution to help you track down and consolidate your pensions.
To locate your lost pensions, all you need to know is where you worked and when you worked there. Jarvis does the rest—searching for your pensions across multiple providers and consolidating them into a single view. This gives you a clearer picture of your retirement savings, helping you make better-informed decisions.
By bringing your pensions together, Jarvis not only saves you time and effort but can also help you understand your pension savings more clearly. Having everything in one place makes it easier to manage your investments and reduces the chances of losing track of your funds.
Combining your pensions can simplify management and potentially reduce fees. However, it’s important to be aware of the potential trade-offs, such as transfer fees or the loss of unique benefits in your current schemes. If you’re not sure whether consolidation is right for you, speak to a qualified financial adviser to weigh up your options.
It’s easy to let life admin like sorting out your pensions, fall to the bottom of your to-do list, especially when juggling family, work, and social commitments. But letting unclaimed pensions go unchecked could mean missing out on money you’ve worked hard to earn.
Jarvis offers a free, easy-to-use pension finding service that saves you from the hassle of searching through piles of old paperwork. Once your pensions are located, Jarvis can consolidate them in one place so you can keep a closer eye on your savings through their sleek and intuitive app. You could even potentially save on fees by consolidating, but it’s crucial to remember that consolidating pensions may not be right for everyone. Always consider seeking advice before making any decisions.
Recent research shows that more than two in five adults (41%) or eight million people in the UK, cannot remember how their pensions are invested. Investment performance can vary significantly, and even a small difference in returns can have a substantial impact on your final pot size. Understanding your investments and making informed choices could help maximise your retirement savings.
Capital at Risk
The value of your investments may fall as well as rise, and you may get back less than you originally invested.
Transfer Warning
Jarvis does not provide financial advice. Consolidating pensions may not be right for everyone. If you are unsure about transferring your pension, you should seek help from a qualified financial adviser. Please be aware that pensions with defined or safeguarded benefits will not be eligible for transfer to your Jarvis Lifetime Pension.
Regulatory Information
Pension Jar Limited is an appointed representative of P1 Investment Services Limited, which is authorised and regulated by the Financial Conduct Authority under firm reference number 752005. This information can be verified on the Financial Services Register. Information Commissioner’s Office registration: ZB394668. Jarvis is a trading name of Pension Jar Limited. Pension Jar Limited is registered in England No. 14344139. Registered office: 80 Cheapside, London, EC2V 6EE.
