The FSA should be investigated by the Parliamentary Ombudsman for giving misleading information on the security of occupational pensions, says independent consultant Ros Altmann.
Altmann says the FSA should be held responsible for leaflets aimed at consumers that described final-salary schemes as “guaranteed”. She is campaigning for the Government to compensate employees of solvent employers who accepted reduced pensions to stop their employers going into liquidation.
The FSA has subsequently changed the wording on its leaflets from “guarantee” to “promise” but denies that the information was incorrect.
Altmann says: “If a financial services company behaved in this way, they would be required to compensate in full for any losses and the Government must do the same.”
FSA spokeswoman Jackie Blyth says: “Our factsheets are no replacement for the information that you get from trustees, pension providers or IFAs.”
Informed Choice managing director Nick Bamford says: “The FSA should be forced to write to every person they sent that leaflet to inviting them to claim compensation from them – that is what an IFA would have to do.”