Hundreds of teachers are unable to finalise their divorces due to long delays in calculating the value of their pensions. For people, such as Amy Goldsmith and David Quinton, awaiting the cash equivalent transfer valuation (CETV), is a difficult process as they need to rely on the value of their pensions. CETV is essential for financial settlements as they need to be aware of the worth of their finances that need to be shared with their ex-partner in case of separation or divorce.
Teachers’ Pensions, which manages the TPS scheme on behalf of the Department for Education, is struggling to meet the recent demand. Data shows that at least 1,344 teachers in the UK were still waiting for CETV valuations as of the start of January 2025. The calculations involved to estimate the worth of pensions in a specialised area, and there are not enough experts to carry out the complex process, resulting in further delays.
According to a government spokesperson, the calculations are complex and require a specialised role to complete. The government aims to clear the backlog of most of the current applications by the end of February. Both parties in a divorce need to provide accurate information about their finances, including property, savings and pensions. Without this information, both parties cannot reach a financial settlement, making the situation even more stressful and mentally challenging.
The delay has caused a negative impact on teaching staff like Amy and David, who are unable to move on with their lives. The delay is also causing financial implications for those waiting, as they are still paying mortgages or accumulating solicitors’ fees for protracted divorce processes. The Teachers’ Pension Scheme board has stated it’s sorry for the inconvenience caused by the delays and has apologised for the turn around time. Even though the government claims that most of the backlog will soon be cleared, groups such as teachers expect the delay to last longer, making them uncertain about the future
Read the full article from The BBC here: Read More
