Rich pensioners the most likely target for con-artists warns the Financial Conduct Authority

17th September 2015


MPs have been warned by the Financial Conduct Authority that well-heeled investment-savvy Britons are the most likely group to be duped into “exotic” pension scams, according to BBC News.

Since the introduction of the new pension freedoms last April, where those aged 55 and over can cash-in their nest-egg if they wish, the City watchdog has voiced its concerns about con-artists looking to tempt retirees into fraudulent investment schemes.

According to the report 78 scams were successful in a month, equaling the number, before the new pension rules went live.

The FCA’s Chris Woolard, explained to the Commons Work and Pensions Select Committee that a massive 10,000 people had filled in an online form explaining details of scam attempts they have come across since April this year.

He added that the typical and most likely victims were wealthy pensioners with some experience of investing and that the average amount lost by conned-retirees was between £18,000 and £20,000.

He said: “They might have the confidence to invest in something that sounds exotic. Economic Secretary to the Treasury, Harriet Baldwin, said to the committee that scams operators should be “caught, locked up and shut down”.

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