Ascot Lloyd Financial Services 

Fos rejects compensation claim for 1989 pension advice

Fos rejects compensation claim for 1989 pension advice

The Financial Ombudsman Service has rejected a claim for compensation relating to pension transfer advice given in 1989.

The client, referred to as Mr D, complained about correspondence from Ascot Lloyd Financial Services Limited and the role the firm’s predecessor played in him transferring from his occupational pension scheme (OPS) into a section 32 personal pension plan (PPP).

In 1989 Mr D transferred out of his occupational pension plan, which provided for guaranteed final salary benefits, and he set up a section 32 plan on advice from another business.

At the time Ascot's predecessor firm was acting on behalf of the occupational scheme's trustees and provided illustrations to Mr D and his advisers.

Mr D complained to Ascot in 2017 after it told him that it was the servicing agent for the personal pension plan.

He had not heard from Ascot before and he also complained about the role the advice firm’s predecessor had in the transfer.

Ascot responded and explained that the predecessor firm hadn’t advised on the transfer.

A spokesman for Ascot said it had represented the trustees and wasn’t authorised to give advice.

But Mr D referred the complaint to the Financial Ombudsman Service.

Ombudsman Keith Taylor said Ascot Lloyd could have explained more clearly how it had become the servicing agent for the personal pension as the lack of clarity had caused Mr D some distress.

But the ombudsman explained that Ascot's predecessor wasn't responsible for the advice to transfer.

The ombudsman told Ascot Lloyd to pay £100 for the trouble and upset caused by their unclear letter.

But Mr Taylor said as he had seen nothing to suggest Ascot's predecessor firm had any responsibility for the original advice to transfer from the occupational scheme to the personal pension so this part of the complaint was rejected.

emma.hughes@ft.com

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