2021 saw the Origo Transfer Service achieve one million transfers in a year, efficiently undertaking transfers for around 150 brands, with all the leading companies in the industry signed to the Service.
The average ceding time across all users of the Origo Transfer Service was 13.5 days, with half of all transfers being undertaken within 7 days. The service measures transfer times in calendar days, rather than working days, so average times continue to be achieved within two weeks.
The Fintech, which handles the vast majority of the industry’s defined contribution (DC) pension transfers through the Service, as well as growing numbers of ISAs and GIAs, saw over £46bn transferred, up from £33bn in the previous calendar year.
Latest Origo Transfer Index data
The latest Origo Transfer Index (OTI) – the measure of transfer times of a group of 28 leading pensions and pensions administration companies when ceding DC pensions to another provider – shows that in Q4 2021 overall average transfer times completed within 14 calendar days. Transfer times increased marginally from Q3 to Q4 2021, from 13.2 to 13.4 days for overall transfers, and from 10.9 to 11.3 days for simpler cases.
The Index is produced on a quarterly basis and publishes the average transfer times over the previous 12 months through the Origo Transfer Service. Vanguard is the most recent addition to the Index, joining in October 2021.
By publishing the data, Origo aims to improve customer outcomes by providing an industry benchmark for average times taken to transfer a pension from one provider to another, against which companies can compare their own transfer performance.
Quarter on quarter 13 companies improved on their Q3 transfer times on overall performance. They are: Elevate (part of Standard Life), Fidelity, Forester Life, Hargreaves Lansdown, Hornbuckle (part of the Embark Group), Legal & General, LV=, MetLife, NFU Mutual, Novia, Parmenion and Wealthtime.
NFU Mutual remains the best performer in the Index, this quarter averaging 5.2 days overall for transfers, and 4.7 days for simpler transfers.
Anthony Rafferty (pictured), CEO, Origo, says: “Passing one million transfers through the Origo Transfer Service is a marvellous milestone to achieve and is a reflection of the performance of the service, as well as the strength of the financial services and financial advice markets. Average transfer times through the service remain consistently within the two calendar week time frame. All despite the ravages of the coronavirus pandemic.
“We now have a significant number of companies openly publishing their data through the Origo Transfer Index, including most of the leading providers in the market. In 2021 we saw three new participants in the index, which is voluntary, which were Advance by Embark, Reassure and Vanguard. Index participants account for over 80% of transfers through the Origo Transfer Service.
“The more participants that engage with the Index the better it is for the industry and for customers, as it provides an overall industry benchmark against which providers, platforms and administrators can measure their performance and where they may be able to improve the standard of service for consumers.”