Ombudsmen continue to be at odds over Sipp due diligence

The review recommended that Sipp providers monitor and bear some responsibility for the quality and type of business introduced to them, record and review the size and type of assets recommended by advisers and request copies of suitability reports.

Mr Arter also flagged up the following two Sipp thematic reviews - in total there have been three - adding that now Sipp operators are expected to “conduct and retain appropriate and sufficient due diligence when assessing that the assets allowed in the Sipp were suitable for a pension scheme”.

“However, Mr Goodwin’s investment has already been received before the more recent guidance was issued.

“While I have some sympathy for the position Mr Goodwin now finds himself in, Berkeley Burke complied with their obligations at the time, gave him clear warnings and explained they would not be liable for losses in the particular investments that he chose.”