Rachel Reeves pushed to overhaul pension rules as retirement savings ‘stuck in the Stone Age’

Chancellor Rachel Reeves is being urged to consider a major overhaul to the pension system as part of the Labour Government’s wider reforms.

A major pension provider has initiated a nationwide campaign calling for mandatory time limits on retirement fund transfers.

PensionBee is demanding ministers establish a binding ten-day deadline for completing pension switches.

The initiative responds to widespread dissatisfaction with protracted transfer times that currently plague the system.

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The Chancellor is being told to overhaul existing pension rules

Analysts have noted that retirement savers face extended waiting periods when attempting to move their funds between providers.

The campaign seeks legislative intervention to address systemic inefficiencies in pension administration.

Current procedures often result in transfers requiring several weeks or months to complete, far exceeding reasonable expectations for financial transactions in the digital age.

Countless individuals attempting to consolidate their retirement funds encounter bureaucratic obstacles and antiquated administrative systems.

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These barriers prevent swift access to their accumulated savings, creating significant frustration among consumers.

Many savers remain uninformed about their money’s location during these extended periods, uncertain whether their requests will succeed.

Administrative inefficiencies trap retirement funds in limbo for extended durations. People seeking control over their financial futures discover themselves thwarted by unnecessary paperwork and sluggish processing times that bear no resemblance to contemporary financial service standards.

The company’s broader initiative encompasses multiple elements designed to highlight industry failings. Their research includes two detailed studies examining customer experiences and evaluating provider performance across the sector.

The first investigation assessed various companies’ transfer efficiency, identifying both exemplary and substandard performers.

A subsequent study documented personal accounts from affected consumers, illustrating the human impact of prolonged delays.

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The campaign warns that without immediate government intervention, countless individuals will remain trapped within an ineffective framework. Meanwhile, underperforming providers continue benefiting from customer confusion and market stagnation.

Lisa Picardo, the chief business officer UK at PensionBee, highlighted the stark contrast between modern financial services and pension administration: “In 2025, people can switch their bank account in a week and send money instantly so why are pensions still stuck in the Stone Age?”

She emphasised that retirement savers deserve superior treatment regarding their essential financial provisions. “Delays have real opportunity costs – hampering engagement, costing people real money, limiting their choices, and undermining trust in the whole pensions system,” Picardo stated.

The executive called for immediate action: “We’re calling on the Government to set clear, enforceable and modern standards so people can move their pension in 10 days or less no excuses.”

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