Travel abroad whilst awaiting decision

Hello.

My wife is awaiting a decision having submitted a settlement (ILR) application, having lived in the UK for 5 years. We found out today that we will submit our documents electronically at the ukvcas appointment which we have never had the luxury of before. Does this mean we will keep our passports and therefore can we go on holiday abroad whilst awaiting decision / settled status? Can't find any info about this?

You cannot travel while an application is pending. If you leave the UK, the application will be considered withdrawn and you lose the fee. If her visa has expired while out of the UK, she won't be able to return.