By Department for Work and Pensions

A key ambition of this government is to drive better outcomes for pension savers and help ensure they achieve the best possible retirement. This can only be achieved by putting the members’ interests at the heart of policy.

I previously set out my commitment to protect savers from pension scams. An important part of that is to make it as hard as possible for criminals to carry out their malevolent intentions. We know that individuals can be vulnerable to scams when transferring their savings from one scheme to another. The government has continued to work closely with regulators, the Pension Scams Industry Group (PSIG) and enforcement agencies to protect individuals against scams, by raising awareness and helping them access appropriate guidance.

Building on this work, in May 2021 the Department for Work and Pensions launched the consultation Pension Scams: Empowering Trustees and Protecting Members, seeking views on the draft Occupational and Personal Pension Schemes (Conditions for Transfers) Regulations 2021 which enable trustees and scheme managers to prevent or pause a transfer request if they see evidence of ‘red flags’ or ‘amber flags’.

Following this consultation, we are bringing forward regulations to protect savers against pension scams, which reflect the views of the many organisations and individuals who took the time to respond. The contributions have been invaluable in helping us ensure we strike the right balance between providing necessary protections against scams and ensuring savers have freedom and choice about where their savings are invested.

Whilst I am immensely proud of the steps we have taken on scams; I do not consider our work complete. That is why the government has committed to a review of these regulations within 18 months of them coming into force to ensure they remain effective in targeting the evolving methods used by scammers.

Guy Opperman MP
Minister for Pensions and Financial Inclusion

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