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18 May 2018 / Nicholas Hill , Gus Baker
Issue: 7793 / Categories: Features , Pensions
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Pensions: cracks in the system

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Nicholas Hill & Gus Baker report on pensions mis-selling, chicken & chips, ‘dubious advisers’, & a new wave of litigation

  • New legislation has changed the ability of people to access their pensions.
  • The evidence suggests that a major mis-selling scandal is erupting.
  • This note considers the legal landscape as pensions and financial services litigation intersect.

Between 2015 and 2017 it is estimated that 220,000 Defined Benefit (DB) pension scheme members transferred over £50bn out of DB schemes. Many of those transfers will have been on the basis of expert, regulated financial advice. Regrettably some scheme members were (according to the Work and Pensions Select Committee) ‘exploited for cynical personal gain by dubious financial advisers in tandem with parasitical so-called “introducers”’.

Practices reported in respect of transfers out of the British Steel Pension Scheme included invitations to ‘curry and chips’ or ‘chicken and chips’ events. One firm was moved to write to the Work and Pensions Select Committee to correct the Committee’s understanding about meetings it held—the firm noted

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MOVERS & SHAKERS

Signature Litigation—Catherine Naylor

Signature Litigation—Catherine Naylor

International fraud and asset recovery offering boosted by partner hire

Stevens & Bolton—Alexa Payet

Stevens & Bolton—Alexa Payet

Private wealth disputes team adds contentious probate specialist

Morgan Lewis—Paul Feldberg

Morgan Lewis—Paul Feldberg

Firm strengthens investigations and sanctions capabilities with London partner hire

NEWS
Cheshire West, which established an ‘acid test’ for deprivation of liberty safeguards, has been overturned by the Supreme Court
The Chancery Division and other segments of the High Court are to be replaced by a new Business and Property Division (BPD), in a major civil justice shakeup
Law firms that hold client money will need to file annual accountants’ reports and make a declaration, the Solicitors Regulation Authority (SRA) confirmed this week
Two district judges and a tribunal judge have been sanctioned for delays in delivering judgments and orders
Private equity (PE) investment into UK law firms halved to £250m last year, but deal volume rose, according to research by Acquira Professional Services’ Momentum private equity market tracker
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