Calls for more powers to combat pension fraud

The Pensions Regulator should be given the power to remove websites that are suspected of pension liberation, a pensions firm says. A new campaign was launched last week to highlight the tragic outcomes that scams have had on families, including the case of a man who took his own life after losing his entire pension savings as a result of such a scheme. Almost £500 million has been removed from pension funds through liberation scams, which is an 18% increase since the start of the year.Portal Financial wants to see a regulator with more teeth to effectively clampdown on fraudsters.Jamie Smith-Thompson, managing director of Portal Financial, said: "Technology has improved the way that people can access information and advice."However, it has also created an environment in which fraud is easier to commit and, as The Pensions Regulator highlights, it can be highly lucrative with nearly half a billion pounds being reported as illegally invested. {desktop}{/desktop}{mobile}{/mobile} "Policing and enforcement need to reflect the new environment, and The Pensions Regulator needs to have the power and support from the Internet Services Providers to act immediately."Consumers deserve this protection as they try to understand the radical changes that have been introduced to an already complex market."The company fears that the Budget reforms will increase the chances of consumers falling prey to scammers.Mr Smith-Thompson said: "We anticipate that an increasing number of people will use the internet to find information on retirement options, and most will not know which companies are providing regulated advice and which are running scams that encourage people to remove money from their pensions before the age of 55. "Portal welcomed moves which have led to the suspension of eighteen sites but said more steps were needed to protect consumers because new pension liberation websites can be created within days.

Calls for more powers to combat pension fraud

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