PSI14.1.1 - Transfer Payments: General - General

(This archived guidance relates to HMRC discretionary practice before the 6th April 2006. For current guidance on Registered Pension Schemes see the Registered Pension Schemes Manual)

Both employees and scheme administrators can gain through having a transfer value paid. In particular it

1. simplifies the employee's affairs by enabling him or her to receive benefits from a single source on retirement instead of piecemeal benefits from a number of schemes,
2. saves scheme administrators the trouble of keeping records about former employees for too long or details of retained benefits.

There is also a benefit to the Revenue: by having benefits paid from one source the risk of excessive aggregate benefits being inadvertently paid is reduced.