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If you are likely to do a loft extension anyway, then I would do it now.
If you paid off debt, you would potentially have to borrow the money anyway to extend, and costs of doing the work will only get more expensive over time.The alternative is moving house, but the cost of that with stamp duty etc might be on par, or more expensive than the loft conversion.
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Open a pension with vanguard and in your partner's name too if poss.Chuck it in there and invest in vanguard vwrl.Leave it there until you want to retire, collect the tax relief at source and if applicable by self assessment. Free money going in.
Draw out the tax free lumps from both pensions, free money comes out.
Pay your mortgage off at that point.
Acliff
princeperch
@zazkar
we are in the fortunate position of having to decide what to do with an inherited lump sum. Options look like paying off a (not insignificant chunk) of mortgage, or doing a loft extension. Are just approaching year five of a twenty year stretch, family are growing, there's no bad decision here, right? My gut says pay off debt, partner thinks home improvement to be prudent. Is there general advice? I feel like Martin Lewis would be on my side.