If you’ve had the same pension for 15 or 20 years, you might assume that no news is good news.
After all, it’s still growing, statements arrive every year, and you haven’t had to think about it. Job done… right?
Not necessarily.
In July 2026 Financial Conduct Authority (FCA) published a review of certain unit-linked personal pensions and long-term savings products. It found that customers in some older or closed products were more likely to receive poorer value than those in newer products.
In some cases, customers faced higher overall charges, poorer investment returns or fewer useful features. That does not mean every old pension is poor value, but it does give long-term savers a good reason to check what they still hold.
That doesn’t mean your pension is bad. But it does mean it’s worth asking an important question:
Is it still working as hard as it should be?
Don’t focus on one fee
When people compare pensions, they often look for a single annual charge.
In reality, the true cost can be much more complicated.
An older pension might include an annual management charge, fund charges, policy fees and other costs that all add up over time. Individually, they may not seem significant. Collectively, they can have a noticeable impact on your retirement savings over decades.
This is one reason an older plan can look inexpensive at first glance while costing more than expected once every layer is included.
The key is understanding the total cost, not just the headline figure.
Performance matters just as much
Charges are only one side of the equation.
The investments inside your pension need to justify what you’re paying.
Some older pension funds have delivered poorer returns or fallen behind the benchmarks used to measure them. Others may still be invested in default funds that no longer match your attitude to risk or retirement plans.
However, performance figures need context. A fund may be taking less risk for a reason, particularly if it’s designed to become more cautious as retirement approaches. Charges, investment objectives and the level of risk taken should all be considered before deciding whether a fund has performed well.
That doesn’t mean newer is automatically better. Some older funds have performed exceptionally well. The important thing is knowing wfhether your pension remains suitable for where you are today, not where you were when you first took it out.
Be careful before making changes
This is where many people can make an expensive mistake.
Some older pensions include valuable guarantees or protections that may no longer be widely available. These could include a guaranteed annuity rate, protected tax-free cash, a protected pension age, bonuses or other benefits that could be lost if you transfer to another provider.
There may also be exit charges or other penalties to consider.
In some cases, advice is not just helpful, it may be required. For example, if a pension contains safeguarded benefits, such as certain guaranteed retirement benefits, worth more than £30,000, regulated financial advice may be needed before a transfer can proceed.
That’s why reviewing a pension is very different from replacing one. Before making any decisions, it’s essential to understand exactly what you’d be giving up as well as what you might gain.
Don’t overlook the service
Value isn’t just about investment returns.
Think about how easy it is to access your pension information. Can you view it online? Is it straightforward to update beneficiaries? Can you easily review your investments or change your retirement plans if your circumstances change?
Good service doesn’t directly increase your pension pot, but it can make managing your retirement planning much simpler over the years.
Does your pension still fit your retirement plans?
Perhaps the biggest question of all is whether your pension still supports the retirement you want.
You may have changed jobs several times, built up multiple pension pots, or moved much closer to retirement since you first opened the plan. Your investment strategy, risk profile and income needs may have changed considerably too.
A pension that was suitable 20 years ago isn’t guaranteed to be the best fit today.
That doesn’t mean it needs replacing. It simply means it deserves a proper review.
Not sure where all your pensions are?
Before deciding whether your pensions still offer good value, it is worth making sure you have found them all.
The Government’s free Pension Tracing Service can help you find contact details for an old workplace pension scheme or personal pension provider. You will usually need the name of the employer, pension scheme or provider to begin your search.
The service will not confirm whether you have a pension or tell you what it is worth. However, it can help you make contact with the relevant provider so you can investigate further.
A review, not a rush
At Cedar House Financial Services, we don’t believe every old pension should be transferred.
Sometimes an existing plan remains of excellent value. Sometimes it contains benefits that are worth preserving. And sometimes there are opportunities to improve how your retirement savings are working for you.
The important thing is making an informed decision rather than leaving an old pension untouched simply because it’s been there for years.
If you’ve not reviewed your pension recently, now could be a good time to see whether it’s still aligned with your retirement goals.
Call 020 8366 4400 or email enquiries@cedarhfs.co.uk to arrange a pension review.
The value of investments held within a defined contribution pension can fall as well as rise, and you may get back less than has been invested. Transferring a pension may result in the loss of valuable guarantees or protections. Pension and tax rules depend on individual circumstances and may change.