Exclusive:
Emma, 51, an NHS admin from Woking, Surrey, submitted a pensions sharing order in March 2023 but reached out to The Mirror following huge delays and silence from her pension provider
A woman who was owed £98,000 from her ex-husband’s pension suffered “unnecessary” stress and delays after a major admin error.
Emma, 51, an NHS admin from Woking, Surrey, submitted a pensions sharing order in March 2024. This is a type of court order which divides a pension after a couple has divorced and states exactly how much the ex-partner should receive.
There is normally a timeframe of up to four months for a pension provider to carry out the order once they have received all the necessary information – but after six months, Emma had heard nothing from her pension provider, Virgin Money.
Describing the experience as “very frustrating“, she told The Mirror: “I have chased and been fobbed off at every turn, with promises of escalation and senior managers calling me back. No one has called me, the only communication between us has been me ringing them to chase.”
At one point, Emma feared she would miss out on the money altogether. Virgin Money later admitted it had “incorrectly allocated“ the pension sharing order and it was only after the issue was escalated to them, that they located the court document.
The final part of the pension was eventually transferred in November 2024, with Virgin Money apologising and offering Emma compensation of £300. Emma said: “I really think there is a big gap in pension company knowledge regarding these sharing orders and if something can be written to help others in my situation, or not to end up in my situation, it can only be a good thing.“
A Virgin Money spokesperson said: “We would like to sincerely apologise to Emma for the unnecessary stress and inconvenience caused by the delay in completing her request. We recognise that both the level of support we provided and the delay that Emma experienced was not in keeping with the standards we typically aim to meet.“
Pension sharing orders explained
New data from Interactive Investor found spouses could miss out on up to £665,000 by excluding pensions in divorce settlements. But what exactly is a pension sharing order? A court order divides the pension, and a portion is legally transferred to the ex-spouse.
Another way to split your pension after divorce is through a pension attachment order, which is where an ex-partner receives regular payments when the other begins drawing their pension. However, these payments will stop if the receiving spouse remarries or the pension-holder dies.
Finally, there is pension offsetting, which is where the value of a pension is offset against the value of other assets, such as property or savings. For example, one spouse might get to keep their pension while the other takes a larger share of the house.
Myron Jobson says: “Pension considerations in divorce are complex and need careful evaluation. Offsetting pensions against other assets may suit some couples, while splitting the pension or earmarking future payouts may work for others. These issues become even more intricate when either party has been married before. It is worth consulting a solicitor to understand the legal and financial implications of pension division.”
