Answered by Andrew Jenkinson
There are lots of rules and regulations in place to ensure that money held in your company pension is safe.
If the worst happens, and your final salary pension scheme ends up being wound up because the company you work for has gone bust, then you might be able to claim compensation from the Pension Protection Fund.
Pension Protection Fund
This was set up in 2005 to protect people with final salary pensions. It does not apply to people with money purchase or defined contribution pensions.
If you have a defined contribution pension and the company you work for goes bust, your pension savings should be safe, as they will be held by the bank or fund manager it is invested with.
If they run into financial difficulties, then the Financial Services Compensation Scheme (FSCS) will aim to move your money to an alternative company. If this doesn’t work, you should get 90% of whatever you’ve saved into your pension back.
Frequently Asked Pensions Advice Questions
A simple policy well explained good impartial advice and knowledge done with a smile! Many thanks.
I found the service very friendly, professional and those I spoke to were clearly knowledgeable and explained things in an appropriate way. Great communication, and very personable staff. I would use again without a doubt.
Excellent – very helpful and knowledgable. No sell, just education and assistance. Would highly recommend!