Average pension transfer times have improved over the past year, with simpler transfers taking just 7 calendar days, according to the Origo Transfer Index.

The index showed that average times from point of request to transaction had fallen from 9.3 days in 2018/19, to 8.8 days for 2019/20.

Meanwhile simpler transfers had fallen from an average of 7.9 days in 2018/19.

Origo managing director, Anthony Rafferty, emphasised that the long timeframes being headlined, which were often “over 50 days in some cases”, were “far from indicative” of the broader industry’s performance.

He stated: “The Financial Conduct Authority has transfer times firmly in its spotlight as does Minister for Pensions and Financial Inclusion, Guy Opperman, who has urged providers to be transparent with their transfer times and to work to lower them to provide a better service for consumers.

“The average transfer times being achieved by participants in the Origo Transfer Index overall is to be commended and is good news for individuals wishing to safely and quickly transfer their assets.”

Rafferty clarified that the service operates on a calender days rather than working days basis, also highlighting that participants in the Origo Transfer Index account for around 80 per cent of the transfers made through the Origo Transfer Service.

“The service automates the process for providers and has had a fundamental effect on reducing transfer times over the past 12 years," he added.

The findings come as cash equivalent transfer activity is being put on hold by many schemes under new easements introduced by The Pensions Regulator earlier this month due to the Covid-19 pandemic, with industry experts predicting a slow down in risk transfer demand.

The Financial Conduct Authority has also published updated guidance for providers and DB transfer advisers in light of the current crisis, also delaying the introduction of more stringent rules for pension transfer specialists until October 2021.

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