Paraplanning firm Heather Dunne Consulting has gone into liquidation after its principal restricted its pension transfer permissions.
Adviser Heather Dunne founded the firm in 2002 to support advisers doing pension transfers and the firm’s biggest client was HDIFA.
HDIFA is also run by Dunne but was placed on voluntary suspension in July 2017 when it was visited by the FCA, which reviewed its terms and processes.
HDIFA was reinstated by the regulator on the basis of new processes, with effect from March 2018.
However, HDIFA was unable to reach an arrangement with the principal firm – Financial Solutions Midhurst – it acted as an appointed representative for or find a new one, which has resulted in no trade for the past year.
This was compounded when Financial Solutions Midhurst de-registered HDIFA in June.
The drop in transfer business and high compliance fees led Dunne to put Heather Dunne Consulting into voluntary liquidation.
A liquidator was appointed on 4 September and Dunne has created Pensions Experts to trade from her home.
It will handle all work to do with paraplanning, TVAS reports and pensions.
She says the only way for her to continue doing pension transfer work is to find another principal as it is too expensive to become directly authorised.
Dunne adds: “My firm had more than 20 employees, four left of their own accord and the rest have been made redundant and the loss of permissions meant I could not advance people. For instance, one person qualified as an adviser and another qualified as pension transfer specialist. They had to move on.”