If you want to consider a transfer from a UK defined benefit / final salary pension to a defined contribution pension (like a personal pension) a cash equivalent transfer value (CETV) from your defined benefit pension provider must first be requested. This is the lump sum the pension scheme will offer you in exchange for giving up any future claims to the defined benefit pension benefits (e.g. an annual pension for life). To calculate the CETV the scheme provider will consider factors like inflation, investment and longevity forecasts, as well as other assumptions.
Once a CETV is issued, you generally have three months in which to accept it and give notice to the scheme trustees of your intention to transfer out. If the deadline is missed, the provider may charge you for issuing a new CETV within 12 months. The new CETV could be higher or lower than the previous CETV.
We always recommend that you speak to a financial adviser like Florin Pensions before applying for a CETV.