The All-Party Parliamentary Group has announced plans to boost the public’s awareness of the risk of pension scams.
There has been a significant rise in the number of scams since the introduction of pension freedom rules five years ago, which gave the over 55s unfettered access to these funds.
However there are concerns that incidents could escalate significantly in the wake of the current coronavirus pandemic, which has caused dramatic falls in the stock market.
Aegon head of pensions Kate Smith says: “Unfortunately the current coronavirus pandemic, combined with the twin factors of a dramatic fall in the stock market and historically low interest rates, have created the perfect conditions for scammers to prey on people, enticing them with the promise of lucrative investment returns.”
She welcomed this new attempt to raise awareness of this issue and in doing so help to protect members of the public.
Smith adds: “Pension savers need to be ever vigilant to the threat of scammers, who constantly look for new ways to take advantage and part people from their hard earned pensions. Anything to keep the risk of pension scams at the front of people’s minds is to be welcomed.
“We need to amplify this with frequent messages about potential scams and reminders that pension cold-calling is illegal in order to keep people’s pensions safe. By working together we can all do our bit to help make this happen.”