Source · Select Committees · Work and Pensions Committee
Recommendation 18
18
Paragraph: 74
On 15 December 2020 the Government announced its decision to bring forward legislation for the...
Recommendation
On 15 December 2020 the Government announced its decision to bring forward legislation for the Online Safety Bill but also signalled its intent to exclude financial harms from the scope of that legislation. It is notable that several public bodies, including the Financial Conduct Authority and National Economic Crime Centre, are openly saying that there is a better approach for the Government to take than the one it has chosen. We recommend that the forthcoming Online Safety Bill should legislate against online investment fraud.
Paragraph Reference:
74
Government Response
Acknowledged
HM Government
Acknowledged
Pension Wise appointments are used to help people understand their options when accessing a Defined Contribution pension. While the appointment 14 Responses to the Committee’s Fifth Report of Session 2019–21 does have a section on identifying scams, its primary aim is about retirement options, and it is only available to people who are over 50 with a Defined Contribution pot. It is not available to many people who may have Defined Benefit pensions. Many people transfer their pensions before they reach 50 and scam activity only comes to light when they try and do something with their pension. These people will not be covered by Pension Wise. The Money and Pensions Service (MaPS) welcome initiatives that increase take up of Pension Wise. MaPS provides pensions guidance to everybody, irrespective of age and type of pension. Anyone who is worried about a scam can pick up the phone and get support, and can be directed to the right service for their guidance needs (including Pension Wise, but also help with debt, money guidance, etc.). Evidence shows that the sooner someone gets help / intervention occurs, the more effective it will be at preventing detriment. This service is soon to be rebranded as ‘MoneyHelper Pensions’. The Committee is looking at the roles of Pension Wise and MoneyHelper Pensions in the next stage of their inquiry, and the Government will respond at that point to any further recommendations that may result from their next report.