Lloyds Banking Group has rolled out a pension transfer incentive scheme that could see customers pocket as much as £5,000 in cashback rewards.
The promotion, which began on June 1, 2026 and continues through to November 30, targets savers looking to consolidate their retirement funds.
To qualify for the bonus, individuals must move a minimum of £20,000 from existing pension arrangements into either a Lloyds Ready-Made Pension or Self-Invested Personal Pension (SIPP).
The transfer can combine multiple old pension pots, with the cashback calculated on the total value moved across.
Lloyds Bank has launched a new cashback deal for pension transfers
|GETTY
Participation requires holding or opening a current account with Lloyds, Halifax or Bank of Scotland, which must remain active until May 31, 2027 when the cashback is due to be credited.
It should be noted that applications for transfers must be submitted through the bank's online platform.
Crucially, the transferred pension funds need to stay invested in the Lloyds pension products until the end of May next year, though fluctuations in market value will not affect eligibility for the reward.
Payment of the cashback bonus will be made directly into customers' personal bank accounts by June 30, 2027.
How much cashback could you claim?
|LLOYDS
LATEST DEVELOPMENTS
Britons are being urged to recover 'forgotten' pension pots | GETTY The bank advises customers to carefully compare fees and consider whether they might forfeit any guarantees or special features before proceeding with a transfer.
Manuel Pardavila-Gonzalez, the managing director of Investments at Lloyds Bank, explained the rationale behind the initiative.
He shared: "It is common for people to build up several pension pots over the course of their careers, which can make it harder to keep track of savings or understand the charges they are paying."
The managing director added that the personal pension "aims to make it easier to bring those pots together in one place, giving customers a clearer view of their retirement savings".
Lloyds Banking Group consists of Lloyds Bank, Halifax, and Bank of Scotland | GETTY He added: "Bringing pensions together can also help them take a more active role in managing their money, making it simpler and easier to plan for retirement, with our cashback incentive making the process even more rewarding."
According to the high street bank, the Ready-Made Pension provides an expertly-managed option for those seeking simplicity.
In comparison, Lloyds' SIPP offers greater investment control with a broader range of portfolio choices.