Any Financial Advisers out there ? I have a Pension pot which I can now take , of around 40k . Will be ok for cash later in retirement so what penalties if any would I have taking the lot out and paying my mortgage off now . No penalties from provider . Thanks in advance.

One problem with taking advice is that it's expensive - is this a final salary scheme, how old are you and what other pensions do you or your partner have?

Well you can probably remortgage and lock into a pretty low rate and without any tax penalty.

Ok, well depending on how old you are, normally 25% is tax free and you pay income tax on the rest.

Well it's taxable - are your properties in joint names and are either of you lower threshold tax payers?

My advisor was able to set my pension up like this.

1. My work pension was transferred to an Income drawdown pension pot. The investment is managed by a wealth fund, other options available.
2. I drew 25% tax free withdrawal from this as a one off.
3. The Wealth Fund Manager transfers 20,000 per annum from the Drawdown pot to an ISA which they manage, this is tax free.
4. I have full access to this ISA so can draw down the balance anytime tax free. In your case you could do £20,000 pa over 2 years to get your 40k.

However I agree with another poster you need to get proper financial advice it will cost but they can also do an overall financial health check including mortgage advice etc. It's worth it also my company would not release my pension unless I did this as they were protecting themselves.

You could do this over 2 years with your ISA allowance although you would need some expert help setting it up.

One more point