Print Share

Press comment: Steps to avoid a pension scam as research shows 5 million at risk


If you are covering research from the Financial Conduct Authority and The Pensions Regulator showing 5 million savers could be at risk of being drawn into a pension scam, please see the following commentary from Quilter head of retirement policy, Jon Greer:

Jon Greer“This research shows that consumers are highly susceptible to some of the underhand tactics used by scammers. Nearly a quarter of the savers surveyed by the industry regulators were tempted by ‘exotic’ investments in things like forestry and biofuels, which is a staggeringly high number when you consider people are referring to putting their life savings in an investment they know little or nothing about.

“Spotting a pension scam can be tricky and it is absolutely critical for savers to have their guard up when approached with an offer to move their pension to a new scheme, transfer into unusual assets promising outlandish returns, or take advantage of a scheme offering early access.  

“Thankfully, there are some important steps to take to help protect yourself against the risk of pension scams. Firstly if a scheme sounds too good to be true it almost certainly is. Any scheme promising bumper returns is to be treated with caution. Secondly, be sure to check the FCA’s ScamSmart website to ensure you’re not moving to a scheme which the regulator has already identified as a possible scam. But don’t assume that just because it isn’t listed that the scheme is legitimate. Instead, always speak to a qualified financial adviser or the Pensions Advisory Service about any major change to your pension  plans. They will help guide you and, most importantly, will be able to point out when something looks too good to be true. Finally, if you are contacted out of the blue then be very cautious. Cold calling is often used by scammers to lure in vulnerable savers. Indeed the Government have banned companies making unsolicited calls (cold calling) to people about their pensions. If you do get a call you’re unsure about, the safest thing to do is put the phone down.

“Today’s figures show that the average pension fraud costs the victim an eye-watering £82,000. Similarly, under scrutiny from the government’s Work and Pensions Committee, The Pensions Regulator recently revealed that it has seven active criminal investigations currently under way in cases where it believes investors have lost £55m from fraudulent transactions. Pensions scams are big business so it is absolutely critical to protect your savings by taking professional financial advice before making any major decisions that could damage your finances.”

For more information contact

Michael Glenister020 7778 963807469

Notes to Editors:

About Quilter plc:

Quilter plc is a leading wealth management business in the UK and internationally, helping to create prosperity for the generations of today and tomorrow.

Quilter plc oversees £109.8 billion in customer investments (as at 30 September 2019, excluding Heritage life assurance).

It has an adviser and customer offering spanning: financial advice; investment platforms; multi-asset investment solutions; and discretionary fund management.

The business is comprised of two segments: Advice and Wealth Management and Wealth Platforms.

Advice and Wealth Management encompasses the financial advice business, Quilter Financial Planning; the discretionary fund management business, Quilter Cheviot; and Quilter Investors, the Multi-asset investment solutions business.

Wealth Platforms includes Old Mutual Wealth UK platform and Old Mutual International, including AAM Advisory in Singapore.

The Old Mutual Wealth Heritage life assurance business was acquired by ReAssure Group Plc on 2 January 2020.

Since its IPO in June 2018, Quilter plc’s businesses have progressively rebranded to Quilter, as follows: 

  • Quilter Financial Planning (previously Intrinsic)
  • Quilter Private Client Advisers (previously Old Mutual Wealth Private Client Advisers)
  • Charles Derby Group (becoming Quilter Financial Advisers)
  • Quilter Financial Adviser School
  • Quilter Cheviot
  • Quilter Investors
  • Old Mutual Wealth (becoming Quilter Wealth Solutions in 2020)
  • Old Mutual International (becoming Quilter International in 2020)

This press release is for journalists only and should not be relied upon by financial advisers or customers.

Please remember that past performance is not a guide to future performance. The value of investments and the income from them can go down as well as up and investors may not get back any of the amount originally invested. Exchange rate changes may cause the value of overseas investments to rise or fall.

This communication is issued by Quilter plc.  Registered office: Millennium Bridge House, 2 Lambeth Hill, London EC4V 4AJ, United Kingdom. Registered number: 6404270.  Registered in England.