Letter of Authority (LOA) in Pension Transfers Explained (2026)

Early in any pension review you will probably be asked to sign a Letter of Authority. It sounds formal, and people sometimes worry they are signing away control of their pension. In fact a standard Letter of Authority does something much narrower: it lets an adviser gather information. Knowing exactly what it does and does not permit makes the process far less daunting.

In short

• A Letter of Authority, or LOA, lets an adviser request information from your providers.
• It does not permit any transfer, withdrawal or change to your pension.
• It is typically valid for around twelve months, sometimes six.
• There are information-only and fuller servicing versions.
• You can withdraw it, and signing one commits you to nothing further.

What an LOA actually does

A Letter of Authority is a signed document telling your pension or investment providers that they may share details of your plans with a named adviser. Those details typically include current values, contributions, charges, fund choices and key dates. Its purpose is to let the adviser build an accurate picture of what you hold before any advice is given. It is an information-gathering tool, nothing more.

What it does not permit

Crucially, a standard LOA does not give the adviser control of your pension. It does not authorise a transfer, a withdrawal, a change of investments, or any transaction. Those steps require separate, specific instructions from you, given later and knowingly. Signing an LOA therefore does not commit you to acting on any advice you subsequently receive; you remain free to do nothing.

Information-only versus servicing

There are different types of LOA. An information-only letter simply allows details to be requested. A fuller servicing version can let an adviser take over ongoing liaison with the provider, for example accessing information online or by phone and corresponding as your point of contact. Even a servicing LOA does not, by itself, authorise transactions. Read which type you are signing so you know its scope.

Validity and timelines

An LOA is time-limited. The validity period is stated in the document and is commonly around twelve months, though some providers require a fresh letter after six. Gathering information can take time, as providers respond at their own pace, so the early part of a pension review is often the slowest. You can withdraw an LOA at any time if you change your mind.

FAQ

What is a Letter of Authority in pensions?

A signed document that lets a named adviser request information about your pensions from your providers, such as values, charges and dates. It is for information gathering.

Does an LOA let an adviser move my pension?

No. A standard LOA does not authorise any transfer, withdrawal, investment change or transaction. Those need separate, specific instructions from you.

Am I committed to anything by signing one?

No. Signing an LOA does not oblige you to act on any advice. You remain free to take no further action.

How long does an LOA last?

It is time-limited, commonly around twelve months, though some providers require a new one after six. You can withdraw it at any time.

What is the difference between information-only and servicing LOAs?

An information-only LOA allows details to be requested. A servicing LOA lets the adviser handle ongoing liaison too, but neither permits transactions by itself.