Savers in the UK have fallen victim to “unscrupulous financial advisers” and some individuals lost as much as £500,000 ($634,917, €565,320) in 2019.
Research by financial mis-selling litigation firm APJ Solicitors shows that people lost, on average, £155,000 each as their planner convinced them to move their pension funds into risky investments.
Half of the 5,000 people surveyed earned between £20,000 and £40,000 a year.
The areas with the highest number of victims were the southeast and southwest, which make up over a third (34%); followed by the northwest with 14% and east Midlands with 10%.
Fraudsters won’t stop
“Thousands of British pension holders are targeted regularly by unscrupulous companies looking to make money from transfers into highly risky schemes, such as Ethical Forestry and Storage Pods, that are likely to leave the victims penniless in their twilight years,” APJ said.
Despite the UK government banning pension cold calling in 2019, the law firm said this hasn’t stopped scammers.
“The statistics and figures are worrying but not completely surprising,” said Andrea Murray, compliance solicitor at APJ.
“We must remember the ban doesn’t stop overseas firms – or firms based abroad with UK footprints – contacting people out of the blue.”
