A sum of more than £30million has been reportedly lost to pension scammers since 2017 according to complaints filed with Action Fraud, data from the FCA and The Pensions Regulator has revealed.
Regulators suggest that scammers have targeted pension pots of all sizes, with reported losses ranging from under £1,000 to as much as £500,000, and the average victim being a man in his 50s.
The true number of victims is likely to be much higher, however, with the FCA suggesting that savers often fail to spot the signs of a scam and don’t know how much is in their pension pots.
In February this year, the FCA highlighted data showing that almost £197m of investment scams were reported to Action Fraud in 2018 alone.
Commenting on the latest figures, FCA executive director of enforcement and market oversight, Mark Steward, said: “During these uncertain times, it is more important than ever to defend your lifetime savings from scammers. Fraudsters will seek out every opportunity to exploit innocent people, no matter how much or how little you have saved.
This really is atrocious and coincides now with huge uncertainty and anxiety for many in light of the Covid-19 pandemic. There have been so many job losses and more will follow as businesses struggle, coupled with the fall in value of many investments and for individuals to then also have their pensions coming under threat really is the final straw.
We have warned the public many times in the past that vigilance is imperative if you are cold-called or encouraged to undertake any financial transaction that may seem too good to be true or involve investments in non-mainstream areas, such as overseas property for example. Prior due diligence is essential. Is the adviser authorised and regulated by the FCA? Separately, please check the FCA register online yourself and you should be able to find all adviser companies listed. Please feel free to call our offices if you are at all uncertain and we shall be happy to check the register for you there and then or otherwise call you back.
