40 BSPS adviser firms have failed so far

Forty financial advice firms hit by BSPS claims have so far failed with a further seven under investigation, latest FSCS data shows. Claims relating to the 40 advice firms which went out of business before 28 February are now being handled by the Financial Services Compensation. Compensation costs are expected to run into the millions as many of the advice firms have failed. Many advisers connected to BSPS failed firms have been banned or fined or both. BSPS claims arise from members of the British Steel Pension Scheme who were advised by the advice firms to transfer their pensions to another provider. In many cases the advice was poor or misleading, the FCA has said. The news comes as FCA data suggests unsolicited approaches to individuals to transfer their pensions have dropped sharply in the past two years. Analysis by consultancy Broadstone, based on analysis of the FCA’s Financial Lives Survey, reveals that a fifth (20%) of adults experienced a pension-related unsolicited approach in the previous 12 months in 2017, however this dropped to 16% in 2020 before falling further to 7% in 2022. It means the proportion of adults reporting a recent potentially fraudulent approach about their pension savings has fallen by 6.5 million from around 10.2 million in 2017 to 3.7 million in 2022, Broadstone says. BSPS claims are continuing to be received by the FSCS, with Scottish financial adviser firm MLM Wealth Management Limited (trading as MLM Financial Services / FRN 784277) declared as failed by the FSCS last week after two BSPS claims were placed under investigation. The FSCS declared seven adviser and Financial Planning firms as failed in June and July, including two with BSPS claims. In 2021 the government set up a BSPS redress scheme, administered by the FCA, to help BSPS members seeking compensation and help. Below are lists of firms with BSPS claims that went out of business before 28 February this year or which are under investigation since February. Firms that went out of business before 28 February 2023 Acklam Financial Ltd, FRN 223707 Active Wealth (UK) Ltd, FRN 631415 Argent Wealth Ltd, trading as Orchard Financial Planners, Morley James Asset Management, FRN 515379 A. W. Dallas Financial Services Ltd, trading as Portfolio Pension Consultancy, FRN 481208 Bailey Richards Wealth Management Ltd, FRN 583487 Bartholomew Hawkins Ltd, trading as Turris Port Wealth Management Ltd, FRN 489590 Better Retirement Group Ltd, FRN 153420 Briggs Murray Financial Planning & Wealth Management Ltd, trading as Briggs Murray Wealth, FRN 773229 Broadgate Financial Management LLP, FRN 589112 Capital and Income Solutions Ltd, FRN 462885 Channel One Financial Planning LLP, trading as Channel One Financial Services, FRN 542078 County Capital Wealth Management Ltd trading as The Pension Review Service, Fathom, FRN 463679 Douglas Baillie Ltd & Fast Pensions Ltd, FRN 187675 Estate Matters Financial Ltd, trading as Pension Matters, FRN 472900 Fiducia Wealth Solutions, formerly Regen Investments Ltd, FRN 646975 F P Consulting Ltd, trading as The Salmon Partnership, RMS Wealth Management, Honeypot Financial Services, Chilworth Financial Management, FRN 195084 Keywood Olley & Associates Ltd, trading as North East Mortgages, EMH Financial Planning, FRN 401067 Hyde Financial Management Ltd, formerly Imperial Wealth Management Ltd, FRN 501271 Independent Benefit Consultancy Ltd, FRN 522390 Intuitive Financial Associates LLP, FRN 516067 John Coldwell Pensions & Investments Ltd, formerly Prophecy Pensions and Investments Ltd, FRN 434114 John Dyer Ltd, FRN 125135 Mansion Park Ltd, trading as Mansion Park Scotland, David Head MPL, Michael J Alexander, FRN 209313 Mercia Financial Planning, Ltd FRN 718251 Network Direct Ltd, FRN 501761 Omega Financial Solutions, FRN 624826 Pembrokeshire Mortgage Centre Ltd, trading as County Financial Consultants, FRN 479220 Portal Financial Services LLP, formerly Portafina LLP, FRN 501272 PWH Financial Planning Ltd, trading as WGN Wealth Management, FRN 506351 Prism Independent Financial Advisers Ltd, FRN 515431 Retirement and Planning Services Ltd, FRN 542640 RSS & L Ltd, FRN 774374 S & M Hughes Ltd, trading as Crescent Financial, FRN 566837 Smith, Law & Shepherds I.F.A Ltd, FRN 719232 The Ntrust Group Ltd, FRN 232159 Tramway Financial Management Ltd, FRN 752006 Vintage Investment Services, trading as Vintage, Vintage Protect, Vintage Mortgages, FRN 142806 Wealthmasters Financial Management Ltd, FRN 536087 West Wales Financial Services Ltd, trading as IWA Financial Solutions, and Mike Powell Mortgages, FRN 756482 Whitebridge Financial Planning Ltd, FRN 773229 Source: FSCS Firms under investigation or failed after 28 February 2023 Abbey Lane Financial Associates Ltd, FRN 649170 Arrow Financial Services Ltd, trading as Arrow Asset Management, FRN 528826 BlueSky Wealth Management Ltd, FRN 446063 D C Financial Ltd, FRN 170299 MLM Wealth Management Ltd, trading as MLM Financial Services, FRN 784277 Niche Independent Financial Advisers Ltd, FRN 472635 The Financial Planning Practice Ltd, FRN 223388 Source: FSCS

40 BSPS adviser firms have failed so far

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