The British Steel Pension Situation
In a recent episode of Adviser 3.0 The Podcast, Abraham Okusanya sits down with Philippa Hann, Managing Director of Litigation at Clarke Willmott. Philippa shares her insights on the British Steel Pension Scheme and what it revealed about industry weaknesses in pension transfer advice. Advisers can also review FSCS guidance on BSPS claims for additional context.
Pitfalls in Pension Transfers
The conversation highlights common pitfalls advisers face when handling pension transfers, from unsuitable recommendations to inadequate due diligence. Philippa explains how these errors can lead to poor client outcomes and costly legal consequences. For further guidance, advisers can review the FCA’s rules on pension transfer advice.
The Shortcomings of PI Cover
Another key theme is professional indemnity (PI) cover for advisers. Philippa discusses the shortcomings in current PI provision, how it often fails to adequately protect either advisers or clients, and why reform may be needed to ensure long-term sustainability. More detail can be found in the FCA’s section on professional indemnity insurance requirements.
The Popularity of DFMs
Philippa and Abraham also explore the growing popularity of discretionary fund managers (DFMs) among advisers. They consider how DFMs are being used in practice and the risks advisers must manage when outsourcing investment decisions.
Philippa’s Personal Approach to Retirement
Finally, Philippa shares her personal approach to retirement and her investment portfolio, offering a candid perspective from a legal professional with deep expertise in investment product misselling and negligent advice claims.
Why Advisers Should Listen
For advisers, this episode is a valuable reminder of the importance of robust processes, clear communication, and accountability in pension advice. It also offers practical insights into how legal perspectives can help strengthen client outcomes.
To hear the full discussion, tune in to Adviser 3.0 The Podcast or explore more insights on Timeline.
