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Pension sharing definition

What does Pension sharing mean? In family finance cases, pension sharing means dividing a member’s retirement benefits between spouses or civil partners on divorce, dissolution or annulment. In England & Wales, Scotland and Northern Ireland it is a statutory mechanism implemented by a Pension Sharing Order (PSO). A PSO specifies a percentage of the member’s cash equivalent transfer value, which is carved out to create a pension credit for the recipient and a corresponding pension debit for the member. Trustees or managers implement the credit either internally within the scheme or by external transfer, subject to scheme rules and charges. “Pension sharing” is distinct from...

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Variation, set aside and appeals of pension sharing/attachment orders, and capitalisation, in divorce and civil partnership cases (England and Wales)

Published by a LexisNexis Family expert
Practice notes
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Variation—pension sharing orders

This Practice Note sets out guidance on changing pension sharing orders and pension attachment orders arising in family cases, alongside appeals. It also outlines the procedural elements for both variation and appeals, and addresses applications for capitalisation.

Variation before final order/decree absolute

Where no final order/decree absolute of divorce, dissolution or nullity has been made—and the pension sharing order has therefore not taken effect—the court may vary or discharge that order. An application to vary may only be issued before the final order/decree absolute is granted. Once a marriage or civil partnership has been dissolved, or a final nullity order pronounced, no application can be brought to vary a pension sharing order, even if it is yet to take effect. Filing an application to vary stops the pension sharing order from taking effect while the application is determined. Such applications are uncommon...

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Rebecca Dziobon
Rebecca Dziobon

Rebecca is an experienced family lawyer having trained and worked on complex financial and children matters at both City and regional firms for ten years. In 2011 she was nominated for, and appointed as, a member of the Resolution Pensions, Tax and Property Committee. She has authored the LexisPSL Family sections on pensions, insurance and trusts since 2013. In 2015 Rebecca moved into a knowledge lawyer role and is now senior knowledge lawyer at Penningtons Manches LLP. She is responsible for equipping the family team with the best tools to provide excellent client service. She also works collaboratively across the wider firm to devise and deliver business improvement initiatives ...

Web page updated on 21/05/2026

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