Cash payments - pension consequences ?

And as I have said, I presume the OP would prefer the new job if they have reached the stage of salary negotiation.
 
Negotiations are best carried out with parties that can generally be trusted. A company that engages in dodgy/tax evasive remuneration practices should not be trusted in any other sphere in my personal opinion.
 
And my opinion is that I would never turn my back on a great opportunity (if that is what it is) merely because the initial proposition from the counterparty was not everything that I wanted, I would negotiate.
 
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