One in five savers have lost track of a pension, according research by People’s Pension.
This research comes as the master trust provider launches a free-to-use pension finder service, which will be available to its 7m members.
The company says there are around 3.3m lost pension pots in the UK, believed to be worth up to £31.1bn. However it says only 6 per cent of pensions savers have used a service to try to locate lost retirement funds.
The research also shows reluctance among savers to consolidate pensions pots with almost half (49 per cent) of describing this as “scary”. Meanwhile 17 per cent of those who have combined pensions said it is nearly impossible to find all the information needed to conduct the transfer.
The new tool allows users to search using the name of a previous employer or provider, removing the need to find policy numbers or contact past schemes – a key reason many members drop out of the transfer process.
The tool has been developed in partnership with Pension Lab. It automates the retrieval of policy details and brings together fund and charge data so members can compare pensions and understand potential long-term outcomes of a switch.
This tools It sits within members’ online accounts and integrates with existing transfer tools. The launch builds on the scheme’s wider programme to improve the transfer journey, following the introduction of the pension consolidation calculator and pension overview webpage.
People’s Pension director of proposition Kirsty Ross says:“Our research shows that people want the simplicity and ease of keeping their pensions in one place, but too often they find the process too complicated and not transparent enough. Our Pension Finder removes that administrative burden, giving members time and space to think carefully before transferring.
“We’ve designed it to reflect how people really behave – providing them support at the right time, rather than pushing a transfer before they feel fully prepared or ready.
“For us, this isn’t just a digital upgrade; it’s another step towards a more transparent, supportive pensions experience that genuinely helps people make the right long-term decisions for their future.”
Scott Phillips, CEO and founder of Pension Lab, added: “Our partnership with People’s Pension brings advanced technology and responsible innovation together to tackle one of the biggest barriers to better retirement outcomes – lost or hard-to-find pensions.
“By embedding our pension-finding and transfer technology directly within the member experience, we’re making it easier for savers to locate their money, understand their options, and complete transfers safely and confidently.”
