Not much like a bank account

When the government announced its pension reforms, ministers talked of being able to treat pension funds like bank accounts, but the Sunday Times reports that the vast majority of pension providers will not offer anything like those facilities.

Most will restrict the amount and frequency of withdrawals and some will even levy a charge for each withdrawal.

You may not need flexible income in retirement, but we think many people will – and since you pay income tax on any sums you withdraw, unless you actually need the income, it’s better not to take it. So choosing a scheme that does provide the flexibility you need is an important aspect of retirement planning.