Oil And Gas Pension Transfer
One feature of the oil and oil services industry in Scotland since the mid-1970s has been the number of companies, which are often multi-national, offering excellent employment terms that have included lucrative defined benefit final salary pension schemes.
Unfortunately, it is a fact that many pension holders have been given advice to leave these employers’ schemes, resulting in the immediate loss of a range of in-built benefits and guarantees.
Poor pension advice can potentially occur in many ways. One example is being told by a financial adviser to contract out of SERPS (the top up portion on national insurance contributions) and leave, or not join, an employer’s occupational scheme. Even leaving an employer’s pension for a small number of years and re-joining can turn out to be a very costly error.
Boom And Bust Of Oil Services
The oil and oil services industries have seen times of boom, but then also of bust. For example, both in 2008 and 2015 with the collapse of oil prices. The resultant job losses saw employees move onto pastures new but sometimes advised by less scrupulous IFAs to move their fund out into a personal pension on the basis that their former occupational scheme was somehow of poor quality or otherwise flawed.
Finally, we have those who retired or took voluntary redundancy and were in a position to access their pension immediately. Once again, the benefits of moving away from the haven of a defined benefit final salary scheme to a private pension has, on occasion, been unfairly embellished by advisers.
Poor pension advice given on even relatively small funds up to 30 years ago can result in substantial compensation. If you think that you might have been the victim of poor pension advice, Beat the Banks are here to check. Our free pension calculator can establish whether moving away has left you out of pocket. To find out more, call us on 01382 200474 or text Pension to 87007