Can I withdraw a lump sum from my pension fund when I reach my agreed retirement age.?

I'm 36 and hope to retire at 55 yet it seems a bit of a waste of all the years of pumping in money if I can only get a couple of hundred a week once I retire after having ploughed thousands and 1000s into it only to possibly die ten years into drawing on it. Would a savings account be better?

This is the current info, obviously, it may change within the next 19 yrs. The new pension rules provide that pension funds with a value of less than 1% of the Lifetime Allowance (currently 拢15,000) can be commuted on the grounds of triviality. 25% will be tax free and the balance subject to PAYE deductions. The scheme manager will provide a form P45 certifying the tax deduction.

Your form P45 details include the amount of tax deducted from your pension commutation lump sum.
The tax deducted may not be the right amount due, when all of your income for the year is taken into account.

After next 5 April HM Revenue & Customs will check whether you have paid the correct amount of tax, and if not they will contact you. But if you think you have paid too much tax you can ask HM Revenue and Customs for a tax refund now - you do not have to wait until 5 April.To claim a refund call your usual Revenue and Customs office and ask for form P53A