PLSA comments on Government's publication on pension scams

The Pensions and Lifetime Savings Association (PLSA) has today commented on the Government’s response to the Work and Pensions Select Committee’s third report of session 2017-19 (Protecting pensions against scams: priorities for the Financial Guidance and Claims Bill). The response looks at pension scams and the issue of guidance at retirement.

James Walsh, Policy Lead: Engagement, EU and Regulation at the Pensions and Lifetime Savings Association (PLSA) said:

“We are pleased to see that the Government has chosen to move more quickly on tackling pensions scams and this announcement is a useful step forward. However, while the cold calling ban is welcome, it is not a water-tight solution. Some scammers will still work to find a way around legislation by – for example – calling from overseas. We look forward to continuing to work closely with government to tackle this issue.”

Commenting on measures to increase the take-up of guidance, Tim Gosling, Policy Lead: Defined Contribution, added:

“Free and impartial guidance is a critical piece of the retirement puzzle and it will go some distance to getting savers the outcome they deserve but we do not believe guidance will be enough on its own.

“The vast majority (84%) of retirees tell us they want an income from their pension savings. But there is no easy or obvious way for retirees to find a good quality income product for those who cannot or choose not to engage with complex financial choices. We think that trustees should be able to select an appropriate income product, which meets Government standards, and signpost their members to it.

“Of course, retirees would be free to disregard this steer and make their own choices but providing clear signposting would help those who might otherwise have struggled to make a decision.”

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NOTES TO EDITORS

PRESS CONTACTS

Lee Blackwell, Head of Media and PR, Pensions and Lifetime Savings Association
T: 020 7601 1726, M: 07713 073023, E: [email protected]

Kathryn Mortimer, Press Officer, Pensions and Lifetime Savings Association
T: 020 7601 1748, M: 07901 007713, E: [email protected]

Eleanor Carric, PR Manager, Pensions and Lifetime Savings Association
T: 020 7601 1718, M: 07825 171 446, E: [email protected]

ABOUT THE PENSIONS AND LIFETIME SAVINGS ASSOCIATION

We’re the Pensions and Lifetime Savings Association; the national association with a ninety year history of helping pension professionals run better pension schemes. Our members include over 1,300 pension schemes with 20 million members and £1 trillion in assets, and over 400 businesses. They make us the voice for pensions and lifetime savings in Westminster, Whitehall and Brussels.

Our purpose is simple: to help everyone to achieve a better income in retirement. We work to get more money into retirement savings, to get more value out of those savings and to build the confidence and understanding of savers.