Regulators tell savers to ‘stay on guard’ over scams

Regulators tell savers to ‘stay on guard’ over scams

The Pensions Regulator, the Financial Conduct Authority and the Money and Pensions Service have joined forces to warn savers against scams.

The watchdogs said they fear that “recent headlines over squeezed household finances may leave savers more vulnerable to scammers”. The regulators also called on trustees to remain vigilant on scams.

There are concerns that recent news, including the coverage of October’s gilt crisis, may push savers “to incorrectly decide there is a risk to their retirement pots and make rushed decisions about their finances”. 

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The watchdogs have not yet seen evidence of an increase in scams.

“Pension schemes are not at risk of collapse,” said TPR executive director of frontline regulation Nicola Parish. 

“It’s vital that savers who have seen recent headlines over the economy don’t panic and rush a decision over their retirement savings.”

Maps head of guidance services and customer protection strategy Charlotte Jackson, said: “We know that some savers may be worried about their pension pots. 

“Scammers may try and take advantage of this uncertainty, so it’s important that you take the time to get free, impartial guidance from our pension specialists at MoneyHelper before making any major decisions.”

The watchdogs asked trustees to “follow best practice in protecting savers from scams”.

This includes “warning them of the heightened risk of pension and investment scams in times of uncertainty and providing some of the common signs of a scam”.   

Alex Janiaud is deputy editor at FT Adviser's sister publication Pensions Expert