Pension Scams Industry Group publishes Interim Practitioner Guide

On March 20, 2023, the Pensions Scams Industry Group published an interim practitioner guide for those dealing with statutory and discretionary transfers, and apply the system of amber and red flags. The interim guide also includes information about other kinds of pension scam. Additionally, the guidance emphasises that, where the risk of scam is low, the preference is to make transfer requests “as quick and easy as possible”. 

Elements of the 2021 transfer regulations need to be clarified or amended. The points of greatest concern to the group are the inclusion of widely defined “overseas” investments in a receiving scheme as an amber flag and the broad definition of an offer of an “incentive” as a red flag. The group is working with the DWP to clarify these, and other inconsistencies, as soon as practicable. Once those issues are resolved, both the interim guide and the full PSIG Code will be updated. The guide aims to make the regulations straightforward to apply, helping practitioners, members, and the industry as a whole.