Peter is 60 and has 7 personal pensions, each with a different pension provider, and with a combined value of £1,000,000. He wishes to simplify his pension arrangements to make his paperwork more manageable, as well as releasing a cash lump sum in order to pay off his mortgage. He doesn’t require any pension income at present as he intends to continue working. He also doesn’t want to pay higher rate tax on pension income he doesn’t actually need immediately anyway. For Peter, we are going to consolidate all the pensions with a single pension provider that allows pension income drawdown. At the same time we are arranging for the tax free Pension Commencement Lump Sum to be paid (£250,000) so that he can clear his mortgage balance.