Many of the clients that the SIPP provider Berkeley Burke accepted had been offered the prospect of investing their pension funds by third party introducers that weren’t regulated.
What happened?
Clients were subject to cold calls that offered pension reviews for free, however these calls were made by sales people who weren’t regulated and were offering significant returns – more than what their current pension would deliver. They explained that by combining pensions, clients could save money as they would only be required to pay one set of management fees rather than multiple.
Introducers That Weren’t Regulated
Once a sales person who is not regulated arranges a pension transfer the client is left with no protection; only regulated financial advisors should be providing advice for pension transfers. Unfortunately, for most people this wouldn’t have been clear and this is where the due diligence of the SIPP provider should have taken effect.
Berkeley Burke is a SIPP provider that has recently been subject to great scrutiny after not taking proper care of their clients. Berkeley Burke SIPP Administration Ltd has failed and was placed into administration on 18 September 2019. As a result, FSCS is accepting claims against this firm.
Risky Investments
Many of the investments that the company offered to its clients were not only very risky, but also unregulated.
There has been a recent trend of retail clients being encouraged to put money into loan notes in companies like Highgrove Osprey/Dolphin Capital GMBH, shares, or bonds.
Next Steps
Call us now for a phone or video consultation with one of our legal experts on 0800 041 8358 to find out if you are entitled to compensation, you may even be entitled to additional compensation if you have successfully claimed in the past.
