UK-based self-invested personal pension (Sipp) operator Heritage Pensions Limited has entered liquidation, the Financial Conduct Authority (FCA) announced.
On 17 March 2022, the directors of the firm appointed Paul David Williams and Edward Robert Bines of Kroll Advisory as joint liquidators.
This comes as Heritage was unable to pay redress due following final decisions issued by the Financial Ombudsman Service (FOS) on the due diligence completed by the firm prior to taking on some investments in its Sipp.
As a result, the firm sought professional insolvency advice after which the directors of Heritage recognised the firm was insolvent and made the decision to place it into liquidation.
Although Heritage is in liquidation, it remains an FCA-authorised firm and is still subject to its rules. Heritage no longer administers any personal pension schemes.
International Adviser has contacted the FOS about the cost and details of the final decisions, but it did not reply in time for publication.
Clients
On 18 November 2021, Heritage sold its Sipp book to PSG Sipp.
PSG Sipp is an FCA-authorised and regulated Sipp operator. Heritage stopped administering any personal pension schemes at this time, which means that customers who held a Heritage Sipp are not affected by the liquidation.
The FCA said that customers of Heritage should contact PSG Sipp if they have any questions on how to claim compensation though the Financial Compensation Scheme (FSCS).
The FSCS is now open to customer claims against Heritage and will investigate whether there are any claims that meet their qualifying conditions for compensation.
The UK lifeboat scheme protects consumers when authorised firms fail and can pay redress of up to £85,000 ($111,733, €101,109) where claims are eligible under its rules.
The liquidators will be writing to those who have an existing complaint against Heritage to explain next steps and the process to make a complaint.
If clients have already referred a complaint to the FOS, they do not need to take any action. As the firm is in liquidation the FOS will contact them in due course regarding the next steps and potentially moving complaints to the FSCS.
Fraud
The FCA added: “All customers should remain alert to the possibility of fraud.
“If you were a client of Heritage and are cold called by someone claiming to be from Heritage, Kroll or any other company claiming to be involved in the Heritage administration, end the call and contact the liquidators.”
