Rogue pension advisers warned against targeting laid-off Rolls-Royce workers

Three industry bodies have come together to warn about rogue pension advisers which have been cold calling Rolls-Royce staff who are being made redundant following the firm’s announcement that it is cutting 9,000 jobs.

It is thought that some Rolls-Royce employees have been contacted by companies advising them to shift their cash from Derby-based Rolls-Royce’s lucrative defined benefit (DB) scheme into private pensions – a move which could bring weighty charges.

Now, a joint statement from the Financial Conduct Authority (FCA), the Pensions Regulator and the Money and Pensions Service has warned against taking up the advice.

It reads: “All advisers should be clear on the FCA’s expectations when offering advice to members of the scheme. Where the FCA sees unsuitable advice, or bad practice, it will take action. TPR is working closely with the Trustee in its role to protect savers.

“The FCA, TPR and MaPS believe transferring out of a DB pension scheme is unlikely to be in the best interests of most consumers. Any scheme members looking for impartial guidance, or thinking of transferring out, should contact The Pensions Advisory Service, part of MaPS, on 0800 011 3797 before taking any further action.”

Rolls-Royce added that it “strongly supported” the move by the FCA to issue the statement.