Budget changes will increase fraud risk warns pensions standards body

Government plans to overhaul the retirement process could increase the threat of pensions liberation fraud by overstretching administrators, warns the Pensions Administration Standards Association (PASA).

The organisation was responding to the Treasury's Freedom and Choice in Pensions consultation on the changes announced in the Budget, which closed this week. PASA policy and strategy sub-committee chairman Peter Dyer said: "Generally speaking we welcome the simplification proposed by the government in the area of Defined Contribution (DC) pensions and the ability of members to make choices at retirement which suit their needs and expectations. "However, we are concerned about the impact of the changes where they conflict with scheme rules, as well as the potential peak demand on admin...