Complaints
During your working life you may have difficulties with your pension scheme provider. In such cases it is important to know the options you have to lodge a complaint. The avenues open to you will depend on the type of pension scheme of which you are a member. If you are a member of a personal (see Personal Pensions) or stakeholder pension scheme (see Stakeholder Pensions), the bank or building society which offers the scheme may have their own complaints department and a specific procedure to follow; you should be able to find information on this from your pension scheme advisor, the customer service hotline or department. If you are a member of an occupational pension scheme (see Occupational Pensions) you may be able to lodge a complaint with the scheme provider, or follow an internal complaints procedure within your company. You may wish to consider discussing the matter with your boss or someone from the human resources department. If you have a complaint to make about the State Pension there are official procedures to register your complaint.
Personal / Stakeholder Pension Schemes
If you have a complaint regarding the way in which you have been handled by your personal (see Personal Pensions) or stakeholder (see Stakeholder Pensions) pension scheme provider, you should write a formal letter of complaint to the customer service department of the pension scheme detailing the reasons for your dissatisfaction. If you are unhappy with the response, you can contact the Pensions Advisory Service for assistance on 0845 601 2923. They may advise you to contact the Pensions Ombudsman if they consider your case is worth further investigation. The Pensions Ombudsman is appointed by the government, and is able to investigate pension scheme complaints that do not fall under the jurisdiction of any other separate pension regulatory body. The Pensions Ombudsman is assigned to assess pension cases as independently and objectively as possible, and their decision is binding. You can contact the Pensions Ombudsman on 020 7834 9144.
If you have a complaint regarding the sale or marketing of your personal or stakeholder pension, you should also initiate your complaint process by sending a formal letter detailing your problem to your pension scheme provider. If you require further assistance, you can contact the Pensions Advisory Service for assistance on 0845 601 2923. You may find it worthwhile to contact the Financial Ombudsman Service, or FOS, if your situation has not been resolved. The Financial Ombudsman Service aims to facilitate negotiation between financial companies and their customers when there is a conflict of opinion. If the FOS considers your case and decides that you are entitled to compensation, you can be recompensed up to a maximum of one hundred thousand pounds. You can contact the Financial Ombudsman Service online at financial-ombudsman.org.uk or via telephone on 0845 080 1800 or 020 7964 0500.
Over a six year period from 1988 to 1994 a spate of occupational defined benefit pension scheme members were convinced to transfer their pension benefits into a personal pension scheme. Many people lost out financially when their personal pension scheme failed to provide them with the same benefits that their previous pension scheme had promised. If you believe that you were mis-sold a pension, you should contact the company who sold you the 'inferior' pension and ask them to review your situation. If the company has registered insolvency or closed down since selling you your pension, you can contact the Financial Services Authority, or FSA. The FSA has departments dedicated to reviewing pension scheme mis-selling and can pay compensation when it is deemed necessary. You can contact the Financial Services Authority via telephone on 0845 606 1234 or 020 7066 1000.
Occupational Pension Schemes
Every occupational pension scheme (see Occupational Pensions) is legally required to have a formal procedure to deal with complaints from scheme members. If you have a complaint you should contact your scheme advisor or the human resources department of the scheme or your own company; you will usually be required to send a formal letter of complaint to the pension scheme before requesting further assistance from an external service.
If the reply you receive is unsatisfactory and you would like a neutral opinion on your case, contact the Pensions Advisory Service for assistance on 0845 601 2923. They may be able to solve the dispute, or liaise between you and your pension scheme to reach a suitable outcome. You may also be advised to contact the Pensions Regulator. The Pensions Regulator ensures that occupational pension schemes are being managed correctly and are able to assist members who have a problem with their scheme provider. You can contact the Pensions Regulator on 0870 606 3636.
If your pension scheme registers insolvency and is unable to pay you the benefits it had promised, you may be able to receive help from the Pension Protection Fund. This fund will investigate your situation and pay compensation if deemed appropriate. You can contact the Pension Protection Fund on 0845 600 2541. For more information on pension scheme closures and the options you have, see Occupational Pension Security.
State Pension
If you wish to make a complaint about your State Pension benefits, you can contact the Pension Service on 0845 606 0265 to make a complaint about your benefits or any aspect of the State Pension service you have received. If you would prefer, you can also write a formal letter of complaint addressed to the manager of your local Pension Service office. If you are unsatisfied with the reply you have received from the Pension Service, you can contact your local Member of Parliament who will either attempt to mediate the dispute or pass your complaint on to the Parliamentary Ombudsman. The Parliamentary Ombudsman investigates complaints lodged against government departments or government agencies, and aim to improve public service as a result. You can contact the Parliamentary Ombudsman via the telephone helpline on 0845 015 4033.
