LIVE Verified against 16 official registers
FCA Financial Services Register Companies House UK Sanctions List HMRC Alcohol Wholesaler Registration Scheme HMRC VAT Number Checker HMRC-Approved ISA Managers Scotch Whisky Association Members Directory HMRC Supervised Business Register Ofgem Feed-In Tariff Register Carbon Credit Project Registries HMRC Money Laundering Penalties Information Commissioner's Office OpenFIGI Domain Registries Mail And Web Records Ofcom Numbering Data
MetaAshes
Critical risk Pension fraud

Pension liberation fraud: being persuaded to transfer out early

Savers are being contacted out of the blue and persuaded to transfer their pension into a new scheme, often one invested in an unregulated or fictitious asset. Many lose the money, and an early withdrawal can also be taxed by HMRC at up to 55%.

How the scam works

  1. 01

    An unsolicited call, text or online advertisement offers a free pension review, early access to pension funds before age 55, or an unusually attractive investment return if the saver transfers their existing pension.

  2. 02

    The saver is encouraged to move their pension into a new scheme, which may invest in an unregulated asset such as overseas property, forestry or storage units, or may hold no real assets at all.

  3. 03

    The transfer is processed quickly, often with pressure to decide before receiving independent advice, and administration fees are deducted immediately.

  4. 04

    The saver later finds the scheme cannot be contacted, the asset does not exist, or HMRC treats the early access as an unauthorised payment, triggering a tax charge on top of the lost pension.

Warning signs

  • Unsolicited contact about your pension, by phone, text or online advert.
  • An offer to access your pension before age 55, outside recognised exceptions.
  • Pressure to transfer quickly, before taking independent financial advice.
  • A receiving scheme investing in an unusual or unregulated asset class.
  • A firm that cannot be verified on the FCA Register for pension transfer advice.

How MetaAshes helps you check

A MetaAshes assessment examines the details a firm has given you against the official record. For this type of fraud, the most relevant checks include:

  • Ownership of the reference number
  • Scope of regulatory permissions
  • Official telephone number on record
  • Payee name verification
  • FCA Warning List screening

View all 69 checks

If you have already sent money

  1. Contact your bank immediately and explain that you may have been defrauded.
  2. Report it to Report Fraud (formerly Action Fraud) on 0300 123 2040. In Scotland, call Police Scotland on 101.
  3. Report the firm to the Financial Conduct Authority.
  4. Be wary of anyone who later offers to recover your money for a fee.

This alert describes a general type of fraud for information only. It does not refer to any particular firm and is not financial or legal advice.