Lump sum deferral to 1 January 2029

The government is again postponing the introduction of the optional lump sum. The target effective date of 1 July 2026 will be postponed to 1 January 2029. The pension sector faces a major challenge due to the transition to the new pension system. Implementers have indicated that the simultaneous introduction of both the system transition and the lump-sum option weighs too heavily on their capacity.