Recent research by the Citizens Advice Bureau (CAB) has revealed it is important that people should be very careful what they do, and a more recent initiative by Financial Fraud Action UK makes it very clear that financial fraud is on the rise…a steep rise. Up 53% in 2016.

Many are wise to the unsolicited email approach offering untold riches in return for the use of our bank account to release funds from unduly harsh financial regimes abroad. However, it is a sad fact that financial scammers (let’s call them what they are – fraudsters) are adept at parting people from their hard-earned savings and they are increasingly targeting pensions whilst hiding behind the new regulations.

CAB’s research (an online poll of over 2,000 adults) revealed that nearly 90 per cent of people struggled to decipher millions of unsolicited offers since pensions freedoms came into force. Fraudsters are increasingly moving away from offering ‘pension liberation’ schemes towards offers such as ‘free’ pension reviews and ‘advice’ and they are particularly targeting the 55 – 64 age bracket, precisely those people who have worked hard to build up their pension pots – people who are looking for guidance as to how to use their savings to enjoy a long and comfortable retirement.

Astonishingly, CAB’s research showed that out of all the consumers surveyed, nearly two thirds (64 per cent) would actually consider an unsolicited offer about their pension and many would only consult informal sources about whether the approach was genuine. When pushed on how they would check whether an offer was legitimate, almost half (45 per cent) said they would look at a company’s website and over a third (36 per cent) would discuss it with their family. Only a third (33 per cent) thought to check that the company was listed on the Financial Conduct Authority’s (FCA) online register.

Gillian Guy, chief executive of CAB said: ‘Fraudsters have shifted their tactics to rob people of a retirement income’.