I’ve a protected pension commencement lump sum (PCLS) which means I can take more than 25% of my pot as tax-free cash. What happens if I take this as a flexible lump sum?

If you use your savings for a flexible lump sum payment (UFPLS) with us:

You’d lose this higher entitlement as the maximum PCLS (tax-free cash) amount for a flexible lump sum payment is usually 25%.

If you use your savings for flexi-access drawdown with us:

You’d keep your higher tax-free cash entitlement of more than 25% of your pot if you take it up front and all in one go.
You’d lose your higher tax-free cash entitlement of more than 25% of your pot if you take your tax-free cash in chunks.

This is a complex subject and we recommend that you discuss your situation with a financial adviser.

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