Suspected fraudsters are using the pension freedoms to target over 55s with promises of “free pension reviews” as a cover for pushing unregulated investments.
The Financial Times reports research by employee benefits consultancy Portus which found that out 1,088 people surveyed over 55, more than two-thirds had been offered a free pensions review.
Half of those polled said they had been approached more than once to invest in in schemes such as airport car parking spaces. Over a third of respondents said they had been approached up to five times.
Overall one in seven retirees had been approached by suspected fraudsters, yet just 12 per cent had reported it to the authorities.
Consumers are being targeted mainly through email and by phone.
Portus commercial director Steve Watson says: “The pension freedoms were a good idea and shouldn’t be trashed. But this change must go hand in hand with education and people should have access to good advice”.