Specialist Family Law Solicitors 
For many people, a pension is one of the most valuable assets they own—sometimes even more valuable than the family home. If you are facing the possibility of divorce, it’s natural to wonder what will happen to the family finances, and whether there are ways to protect your pension before divorce.
This page explains how pensions are treated in divorce, the options available to protect your pension before proceedings begin, and how our family law solicitors can help.
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Are Pensions Counted In Divorce Settlements?
Yes. In England and Wales, pensions are treated as part of the overall financial picture when a couple divorces. Along with property, savings and investments, pensions can be considered and divided to reach a fair settlement.
This doesn’t always mean that pensions are physically split. Sometimes one spouse keeps their pension and the other receives more of another asset, such as the house or savings. But when it comes to splitting equity, pensions are usually in the mix, and they can’t be ignored.
Why Protecting Your Pension Matters
If you have built up a pension over many years, you may feel strongly about keeping it intact. Losing part of it can affect your long-term financial security and retirement plans.
At the same time, the courts aim for fairness. The starting point is often to share assets so that both parties can move forward. Because pensions are often overlooked or misunderstood, it’s important to take advice early and understand your position before a divorce is underway.
Ways To Protect Your Pension Before Divorce
There are a number of steps you can take to try to protect your pension before divorce proceedings start. Some options are practical; others require formal agreements.
1. Prenuptial Agreements
A prenuptial agreement (or “prenup”) is made before marriage. It sets out what should happen to assets—including pensions—if the marriage later breaks down. While not legally binding, courts in England and Wales are giving prenuptial agreements increasing weight if they are fair and both parties had independent legal advice.
2. Postnuptial Agreements
A postnuptial agreement (or “postnup”) works in a similar way but is entered into after the marriage has taken place. Like prenups, they are not automatically binding, but the courts are increasingly likely to follow them if they are fair, transparent, and properly drawn up.
3. Ring-Fencing Pension Contributions
If you are concerned about your pension, you can consider limiting new contributions or moving savings into different types of assets. However, because pensions are almost always included in divorce proceedings, this does not guarantee protection. The court will look at the overall fairness of the settlement, not just where the money sits.
4. Offsetting Against Other Assets
One way of protecting your pension is through negotiation. If your spouse is happy to receive more of another asset, such as the home or savings, you may be able to keep all or most of your pension. This is called pension offsetting.
5. Mediation And Negotiation 
Agreeing terms before court involvement often gives you more control. Here at Bonallack & Bishop, we’re big fans of family mediation (online or face-to-face) which can work really well, though doesn’t work for everyone. And our family law team includes our own jointly qualified family lawyer/mediator.
By being open about your pension and suggesting fair alternatives, you may be able to reach an agreement that protects your retirement income while giving your spouse value elsewhere.
Click here to read more about how family mediation could help you.
What You Cannot Do
It’s important to know that you cannot simply hide or move pensions to keep them out of the divorce process. All pensions must be disclosed. If you fail to provide full and accurate information about all of your assets, and that later comes to light, any settlement that you have reached with your ex, (including a final consent order made by the court) can be reopened.
How The Court Deals With Pensions
If the court becomes involved, it has several options:
- Pension sharing order – part of one pension is transferred to the other spouse, giving them their own pension pot.
- Pension attachment order – less common; a spouse receives some of the pension income or lump sum when it is paid.
- Pension offsetting – one keeps the pension, the other gets more of a different asset.
Which approach is used will depend on the circumstances, including the size of the pension, other assets, and the needs of each spouse.
Timing And Practical Steps
If you are thinking about protecting your pension:
- Get advice early from specialist family law solicitors – best before divorce proceedings begin, so you know your position.
- Gather documents – request up-to-date pension statements and cash equivalent transfer values (often referred to as CETVs) from providers.
- Think long term – a short-term financial gain might not make up for lost retirement income.
- Consider agreements – a prenuptial or postnuptial agreement can help set expectations.
How Our Family Law Solicitors Can Help
Our highly experienced team of family and divorce solicitors have extensive experience helping clients protect pensions in divorce. We can:
- Review your pensions and other assets in detail
- Advise on prenuptial or postnuptial agreements
- Negotiate to protect your pension through offsetting or settlement
- Work with pension experts where valuations are complex
- Represent you in court if an agreement cannot be reached
Our goal is to safeguard your financial future while reaching a fair settlement that allows both parties to move forward.
Protecting Your Pension – Key Takeaway
You cannot completely remove pensions from the divorce process, but with the right advice and planning you can often protect a large part of your pension. Early action—before proceedings begin—can make a big difference.
