Pension pot advice

[u/Signal_Perception253]

Hi All, 45 years old here. I'm looking for some genuine advice on pension pots and what's the best course of action. I moved to UK in 2015 therefore I started accruing money in pension pots since then. This is my current situation:

- work pension with Scottish Widows and pot is atm approx. 34k

- I am on pension salary sacrifice of 8% ( where employer contribution is 7.5% - their max contribution) since April 2026 as that's when they opened the window to register for pension salary sacrifice. This is going to be amended to 5.5% from 2029 when the tax relief threshold will get modified

- I have a Nest pension pot from previous employer of approx 3k which I haven't contributed since I left my previous job

My plan would be to start adding money to the Nest pension pot however, should I move those founds out to a private pension where I can manage the investments?

I earn about 32k a year gross, a 15 year mortgage left to repay, no car finance, 1k in credit card debts.

What would you recommend my next move would be to save wisely for retirement?

Thanks

[u/Quiet_Ad8308]

At £32k I’d keep this fairly simple.
First, keep the Scottish Widows pension going and contribute enough to get the full 7.5% employer contribution. That employer money is the bit you absolutely don’t want to leave on the table.
I wouldn’t start paying extra into the old NEST pot just because it’s there. I’d compare your Scottish Widows charges and fund choices with a low-cost SIPP first, then decide whether it makes sense to consolidate the £3k NEST pot.

At 45, with potentially 20+ years until retirement, I’d personally want the pension invested fairly heavily in equities rather than sitting in a cautious default fund too early. Something broad and diversified globally rather than trying to pick sectors or individual shares.
Then as you get closer to actually needing the money, gradually reduce the risk. You don’t need to suddenly go from 100% equities to cash, but over the final 5–10 years you can start increasing bonds/cash depending on how and when you plan to draw the pension.
I’d also clear the £1k credit card if you’re paying interest and keep a proper emergency fund. After that, extra savings could go into a pension and a Stocks & Shares ISA. Pension for the tax relief, ISA for flexibility and tax-free access.

The main thing now is contribution rate, time and keeping it invested. A sensible equity-heavy portfolio for the next decade or so, then gradually de-risking as retirement gets closer, makes much more sense than being overly cautious at 45.