TISA responds to FCA’s multi-firm review of life insurers’ pension transfer process

TISA have highlighted the importance of ‘effective solutions that allow consumers to transfer their pensions safely and efficiently’ ahead of new initiatives, as the FCA publishes a pension transfers’ review.

Commenting on today’s publication of the FCA’s multi-firm review of life insurers’ pension transfer process, Renny Biggins, Head of Retirement at The Investing and Saving Alliance, said:

“Today’s report illustrates the tightrope firms are walking between improving the efficiency of pension transfers whilst also protecting consumers from scams. Anti-scam regulations and the introduction of ‘flags’ have been beneficial. However, they have also created unintended consequences and produced a disconnect between the guidance, expectations and legislation. Amending the wording of some amber flags could address some of these consequences by reducing referrals whilst also continuing to protect consumers.

“We eagerly anticipate the FCA’s response to the consultation on changes to the pensions regulatory framework later this year, and look forward to working with them to create effective solutions that allow consumers to transfer their pensions safely and efficiently. This will be crucial to the success of new initiatives like Targeted Support and Pension Dashboards, which will undoubtedly increase member-led consolidation.”