New data from actuarial consultancy OAC suggests that pension savers submitting a complaint about pension transfer advice would now receive just £12,000 in compensation, about half the amount they would have received at the beginning of the year and well below the levels of two years ago.
The Financial Services Compensation Scheme (FSCS) has declared Manchester-based Pension Advice Specialists Ltd (FRN: 792927) as failed.
The end of 2023 saw the rate of people transferring out of their DB pension fall to a five-year low, research from pensions consultancy XPS Pensions Group found.
The number of defined contribution pension transfers in 2023 soared by 22% to 1.2m despite predictions of a decline in the market.
The DB Pensions Transfer Value Index compiled by XPS Pensions increased by 2.6% during November to £156,000, the biggest increase seen since March.
Birmingham-based BlueSky Wealth Management Ltd (FRN: 446963) has failed, opening the door to claims against the firm through the Financial Services Compensation Scheme (FSCS).
It is now two years since new pension transfer regulations were brought in to help the fight against fraudsters. The new rules give pension scheme trustees the power to stop transfers if they think the member is at risk of being scammed.
The Financial Services Compensation Scheme has so far paid out just over £9.7m on 234 successful claims against failed firm Portal Financial Services LLP, formerly Portafina LLP (FRN 501272).
DB transfer values have fallen by a third since June 2018, according to the latest data from XPS’s Transfer Value Index.
In a new monthly column for SIPPs Professional, SIPP expert James Jones-Tinsley reviews the latest changes in the pension transfer market.