Pension savers continue to be targeted by unscrupulous companies encouraging them to access their pension savings early. Promoters of these schemes offer personal loans, cash incentives and one-off pension investments to entice people to invest in these pension scams. Pension savers involved in these pension liberation scams face significant tax consequences.
HM Revenue & Customs (HMRC) is committed to combating pension liberation activity. As well as making changes to the registration process and process for confirming pension scheme status in transfers cases, HMRC has been working with other government departments/agencies and the pensions industry to take action to prevent pension scams and preserve pension savings.
HMRC has worked closely with The Pensions Regulator on publishing a revised set of leaflets highlighting the serious downsides of pension scams. The leaflets provide guidance on what trustees and scheme members can do to reduce the risk of becoming involved in these scams, and the tax impact of releasing pension funds early using these types of arrangements.
Go to the revised leaflets (Opens new window)
Further information
If you want more information phone Action Fraud or the Pensions Helpline, or if you're aware of anyone tempted to enter into such an arrangement please ask them to phone.
