Extended processing delays are driving pension holders to abandon consolidation efforts, according to consumer advocacy research highlighting systemic inefficiencies in the transfer infrastructure.

Consolidating retirement accounts offers tangible advantages: reduced administrative overhead and lower fee structures. Yet the operational reality tells a different story.

Which? research indicates providers operate under permissive timelines allowing up to six months for transfer completion, a window that frequently tests saver patience beyond breaking point.

Members of the Which? Connect research panel reported outright abandonment of transfer requests after protracted waiting periods. The consumer group characterizes the existing framework as fundamentally inadequate, particularly as pension dashboards approach deployment and engagement with retirement planning intensifies.

Which? expressed concern that infrastructure limitations will compound as digital tools make pension visibility more accessible, potentially overwhelming a system already struggling with current demand levels.

One documented case involved a 61-year-old attempting to consolidate three separate pension accounts for streamlined management. While two transfers concluded within months, the third extended to 15 months before resolution.

As the delay stretched on, the saver began questioning fund security. He recounted to Which?: "You do hear about pension scams, so it crossed my mind as things started to drag on."

The eventual completion brought what he described as "huge relief," underscoring the psychological toll of prolonged uncertainty around retirement assets.

A financial adviser contributing to the Which? investigation cited a client case requiring nine months to finalize, illustrating that professional guidance offers no immunity from systemic bottlenecks.

Which? analysis identifies legacy operational procedures as primary friction points. Many providers continue requiring physical signatures, while anti-fraud detection systems frequently flag legitimate transfer requests, creating additional processing layers.

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While fraud prevention mechanisms serve essential protective functions, the consumer group notes these safeguards introduce substantial friction for legitimate account holders attempting straightforward consolidation.

The Financial Conduct Authority has proposed reforms targeting non-advised consumer transfers, which Which? views as potentially accelerating timelines while ensuring adequate information provision at process initiation.

Proposed measures include a 10-day data-sharing mandate, standardized side-by-side scheme comparisons, and industry-wide digital signature acceptance.

FCA review findings shared with Which? indicate over 75 percent of sampled firms complete transfers within 10 days. The regulator stated the proposed framework would deliver "clearer, more timely and more meaningful information when considering a transfer."

Jenny Ross, Which? Money editor, emphasized the urgency of systemic improvements: "It's essential the industry urgently gets to grips with the issues facing pension savers and ensures a consistent service for those moving their retirement pots."