UK - Independent Financial Advisors (IFA) are slipping behind on compensation payments to victims of the £11.5bn pensions mis-selling scandal.
The Financial Services Authority (FSA) report on the progress of compensation settlements shows so far that £3.3bn has been paid out to people who were mis-sold pensions products by their IFAs. According to the FSA, with the deadline for settling all compensation claims just under a year away, it is small firms that are lagging behind.
So far, FSA figures show that two thirds of consumers in the second phase of the pensions review have had their cases completed.
Philip Robinson, director of the pensions review, warned small firms that are falling behind the compensation schedule that the regulator would be paying them close attention. Robinson said that if the mis-selling review is to be completed on time, firms will have to make rapid progress with completing opt-out and non-joiner cases.
By Geoffrey Ho
Most respondents in this week's Pensions Buzz do not think businesses should be able suspend AE contributions if in financial distress.
Former BHS owner Dominic Chappell has lost the appeal against his section 72 conviction and sentence for failing to hand over information to The Pensions Regulator (TPR).
This week's top stories include Marsh and McLennan Companies agreeing to buy JLT, and the home secretary calling for AE to be scrapped in a no-deal Brexit scenario.
Lesley Titcomb says the watchdog wants closer interactions with pension funds to spot problems sooner and act before having to use its more stringent powers