Defined Benefit Pension Transfer Advice
Rigorous, independent analysis of your CETV — without the pressure to reach a particular conclusion.
Your Situation
If you have received a Cash Equivalent Transfer Value and want independent analysis…
Defined benefit pension transfer analysis is one of the most technically complex areas of regulated financial advice. The decision involves actuarial factors, investment return assumptions, mortality risk, critical yield calculations, and a detailed understanding of how your DB benefits interact with the rest of your financial plan. A superficially attractive CETV can mask a deeply unfavourable exchange when subjected to rigorous independent scrutiny.
Castle Stonebridge's advisers hold the specialist qualifications required by the FCA to provide defined benefit pension transfer advice to clients across the UK. We conduct thorough, documented transfer value analyses using the full range of relevant metrics — critical yield, comparator annuity, scheme-specific factors — and deliver recommendations based entirely on your circumstances, not on any commercial incentive to encourage a transfer.
Questions We Answer
"What is my CETV as a multiple of my projected pension, and is that typical?"
Context matters — your multiple should be compared against actuarial norms for your age and scheme type.
"What critical yield would my SIPP need to achieve to replicate my DB income?"
If the required return is very high, the risk of a transfer may significantly outweigh the potential benefits.
"How does my scheme's indexation affect the real value of my DB benefits?"
Inflation protection built into DB pensions is valuable and often underweighted in naive comparisons of CETV vs projected income.
"How does my health and life expectancy affect the transfer analysis?"
DB pensions pay until death — if life expectancy is reduced, the relative value of a lump sum may increase.
"Are there scheme-specific factors that affect the CETV calculation?"
Some schemes calculate CETVs using discount rates or actuarial assumptions that make their values higher or lower than the norm.
Important Regulatory Information
Defined benefit pension transfer advice is a regulated specialist activity under FCA rules. All individuals with a defined benefit pension worth £30,000 or more must obtain regulated advice before transferring. The FCA's guidance is that, in the majority of cases, it is in the member's best interest to remain in their defined benefit scheme. Castle Stonebridge Financial Planning holds the necessary permissions and qualifications to provide this advice and will always deliver a recommendation grounded in your best interests, not in any assumption that a transfer is the preferred outcome.
Our Approach
How We Guide You
Scheme documentation review
We obtain your full benefit statement, CETV quotation, scheme rules, and any enhanced transfer value offer details before beginning analysis.
Quantitative transfer value analysis
We calculate critical yield, model pension income comparisons across different market return scenarios, and assess survivorship and indexation benefits.
Holistic suitability assessment
We assess the transfer in the context of your complete financial plan — other income, State Pension, health, family situation, IHT position, and objectives.
Written personal recommendation
We issue a compliant suitability report with clear reasoning. If a transfer is not in your interest, we say so clearly.
Key Considerations
What you should know before making a decision
- Regulated financial advice is required before transferring a defined benefit pension worth £30,000 or more — this is a legal requirement under the Pension Schemes Act 2021.
- The FCA's starting position is that defined benefit pension transfers will not be in most clients' best interest. Transfers that do proceed must be clearly evidenced as suitable.
- Defined benefit pensions provide guaranteed income for life, built-in inflation protection (in many cases), and survivor benefits — all of which are forfeited on transfer.
- The value of investments in any replacement arrangement may fall as well as rise, and you may receive less than the amount transferred. Tax treatment depends on individual circumstances.
Talk to an independent adviser — no obligation
Castle Stonebridge is FCA-regulated and wholly independent. We are not tied to any provider, which means our advice is guided solely by what is right for you.
Book a Free ConsultationYour initial consultation is completely free and carries no obligation.
Common Questions
Frequently Asked Questions
Ready to get the right advice for your situation?
Your free initial consultation is completely without obligation. We will listen, understand your specific circumstances, and tell you honestly whether and how we can help — before we discuss fees.
advice@castlestonebridge.co.ukCastle Stonebridge Limited is an Appointed Representative of Rosemount Financial Solutions (IFA) Limited, which is authorised and regulated by the Financial Conduct Authority. Rosemount Financial Solutions (IFA) Limited is entered on the Financial Services Register under reference 535515. Tax treatment depends on individual circumstances and may change.
Investment & Pensions Risk: Capital is at risk. The value of pensions and investments and the income they produce can fall as well as rise. You may get back less than you invested. Past performance is not a reliable indicator of future results.