The Pledge to combat Pension Scams

We have always taken the danger of pension scams extremely seriously and it’s a key priority for us. The Pensions Regulator (TPR)’s ‘Pledge’ to combat pension scams asks trustees, providers and administrators to sign up to a number of commitments to protect members from scams and stop scammers in their tracks. We welcomed the ‘Pledge’ initiative, along with DWP’s transfer regulations that came into effect in November 2021. These give trustees and administrators more power to investigate and block pension transfers that they suspect of being scams.

The ‘Pledge’ is a two-step process. The first step is to make the pledge, and trustees, administrators and providers who make that pledge commit to:

• regularly warning members about pension scams
• getting to know the warning signs of a scam and best practice for transfers by completing the scams module in the Trustee Toolkit and encourage all relevant staff or trustees to do the same
• studying and using the resources on the Financial Conduct Authority (FCA)
• consider becoming a member of the Pension Scams Industry Forum which is a voluntary industry group that meets on a monthly basis to discuss pension scam threats and trends
• reporting concerns about a scam to the authorities and communicate this to the scheme member.

The second step is to make a self-certification that confirms these ‘Pledge’ commitments are being met. Fidelity has made that self-certification.

We meet those commitments to the Pledge in a number of different ways, these include:

• regularly warning members about the risk of scams by including scams materials in annual benefit statements, transfer packs and on our website
• encouraging members asking for cash drawdown to contact Pension Wise for appropriate impartial guidance
• completion of the scam’s module on TPR’s trustee toolkit for all staff who interact with members
• being a member of the Pension Scams Industry Forum and staying up to date with scam guidance from TPR, the FCA and the Pension Scams Industry Group
• encouraging members to report a scam or suspected scam to Action Fraud and directing members to the FCA to report suspicions about a pension transfer via their website. We also consider reporting to law enforcement authorities and regulators on a case-by-case basis.

If you would like to find out more about the ‘Pledge’, please go to the Pledge commitments on TPR’s website.

If you would like to find out more about pension scams, please visit the pension fraud pages on our website.