PENSION SCAMS IN THE UK

On 13th August, the House of Commons Library published a briefing paper which provides information on how to spot pension scams and aims to answer some of the FAQ on which constituents ask for help with from their MPs.  In 2017, pension scam victims were reported to have lost an average of £91,000, though the paper says that only a minority of pension scams are believed to ever get reported.  Citizens Advice has identified 4 types of pension scams to look out for:

  • Liberation scams that offer access to a pension before the age of 55. This often results in a large tax bill in addition to the loss of savings;
  • Investment scams that offer high (unrealistic) returns on overseas investments of pensions;
  • ‘Review’ scams that offer a ‘free’ review into pension savings and investment returns; and
  • ‘Advice scams’ that offer free advice with the aims of obtaining information or authority to transfer a pension or to act as a lead for other pensions scams.

http://researchbriefings.files.parliament.uk/documents/CBP-8643/CBP-8643.pdf

See also this report from Citizens Advice –

https://www.citizensadvice.org.uk/Global/CitizensAdvice/welfare%20publications/Too%20good%20to%20be%20true%20-%20Understanding%20consumer%20experience%20of%20pension%20scams%20a%20year%20on%20from%20pension%20freedoms.pdf

 

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

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