Why switch your pension?
People switch pensions to cut high charges, consolidate scattered old workplace pots, get better investment choice, or move to a provider with a modern app. A 1% annual charge on an old pension can cost tens of thousands over a working life compared with a 0.3% modern alternative. But switching is not always right — some older pensions carry valuable guarantees you would lose.
| Switch to | Best for | Typical cost | Switching ease |
|---|---|---|---|
| PensionBee | Consolidating old workplace pots | 0.50%–0.95% | Very easy — app-led |
| Vanguard SIPP | Low-cost DIY passive | 0.15% + fund fee | Easy |
| AJ Bell | Whole-of-market DIY | 0.25% + fund fee | Easy |
| Nutmeg / Moneyfarm | Hands-off managed | 0.45%–0.75% | Easy — robo onboarding |
| interactive investor | Large consolidated pots | £12.99/mo flat | Easy |
Check before you switch
Before moving any pension, confirm three things: whether the old plan charges an exit penalty (common on pre-2017 plans); whether it offers a guaranteed annuity rate (GAR) often worth far more than today's open-market rates; and whether it is a defined benefit (final salary) pension — these are almost never worth transferring out of and require regulated advice above £30,000.
The switching process
Modern providers handle the legwork. With PensionBee you provide details of your old pensions and they chase the transfer; Vanguard and AJ Bell accept online transfer requests and contact your old provider directly. Transfers typically take two to six weeks and your money is usually moved as cash, so you are briefly out of the market.
Verdict
For ease and consolidation, PensionBee is the simplest pension to switch to. For the lowest long-term cost, switch to a Vanguard or AJ Bell SIPP. If you want it managed for you, Moneyfarm or Nutmeg are strong picks. Compare destinations in our best pension providers guide and DIY options in our best SIPP providers guide. Model the long-term impact with our pension calculator.