Sheffield workers missing out on £4.3m in unclaimed pension pots - have you checked on yours?

Sheffield has the second highest number of unclaimed pension pots –with £4.3 million at stake.

By Rahmah Ghazali
Wednesday, 14th July 2021, 2:10 pm

According to pensions management company Profile Pensions, Sheffield has 218 unclaimed policies with an average lost pension pot totalling £23,000.

In total, there are 1.6 million pension pots unclaimed in the UK, with an estimating value of £19.4 billion.

Birmingham has the most, with 229 unclaimed policies worth £5.3m.

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Research shows that £19.4bn worth of pension pots could be lying unclaimed, with Sheffield being the second highest city for the most missing pensions.

After Sheffield, Peterborough has a total of 133 pension pots worth £4m lying unclaimed by workers who saved for their retirements.

Profile Pensions’ calculations indicate that the average person is aware of just 2.2 of their pensions when actually, they may have closer to 2.7.

Moving home, changing jobs and opting out of the State Earnings Related Pension Scheme are said to be reasons for people forgetting about pension pots.

Chief Investment Officer of Profile Pensions, Michelle Gribbin, says: “The figures in question here are truly staggering. To know that the average person is losing out on a potentially life-changing £23,000 worth of retirement money speaks volumes as to what needs to be done in terms of pension education.

“Looking at the reasons why this happens on such a large scale shows that life naturally gets in the way sometimes, which is to be expected. That being said, if we can help employers provide more in the way of investment training, many people will experience a much more comfortable retirement.”

The company has found over £152m in missing pension funds since 2017.

To find out more visit Profile Pensions here.