Pensions: Direct Marketing

(asked on 7th December 2020) - View Source

Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, if she will include online activity in the ban on pensions cold calling.


Answered by
Guy Opperman Portrait
Guy Opperman
Parliamentary Under-Secretary (Department for Transport)
This question was answered on 15th December 2020

This government is committed to safeguarding consumer savings. DWP, and other departments, have introduced measures that assist all savers to understand their choices and the possible risks of the choices they make, along with legislation to protect those most vulnerable to scams. This includes the ban on cold calling, which was introduced January 2019. Further action is being taken legislatively and operationally.

To help protect people from pension scams, clause 125 in the Pension Schemes Bill is being introduced, following extensive consultation and debate. It will allow government to introduce measures to limit the statutory right to transfer.

The Bill will ensure that a range of consumer protections will apply to all pension savers, regardless of what avenue, such as online or via social media, is used by potential scammers to contact them with regards to their pension savings. The powers in this Bill will enable government in certain circumstances (red flags) to remove the statutory right to transfer. The Government is working cross department and with industry & regulators to determine red flags including the use of online channels to make contact with pension savers.

The National Cyber Security Centre (NCSC), plays a key role in protecting the UK from cybercrime and fraud. The NCSC’s Active Cyber Defence (ACD) programme tackles cyber-attacks in an automated and scalable way, to improve national resilience. This includes a takedown service which searches for and identifies malicious websites. Where found, it removes them at source so they cannot cause further harm to the public.

To complement the ACD programme, the NCSC recently launched the Suspicious Email Reporting Service, which allows the public to flag suspicious emails to the NCSC simply by forwarding them to report@phishing.gov.uk. They are then analysed and malicious content is taken down where found.

The Government continues to raise public awareness of scams through ongoing communications directly from DWP and with other organisations. Joint and independent communications from the FCA and tPR spelling out the dangers, what to watch out for and giving clarity to trustees and providers on the boundaries between guidance and advice have been issued since April this year (https://www.fca.org.uk/news/press-releases/covid-19-savers-stay-calm-dont-rush-financial-decisions(opens in a new tab)). Prior to Covid-19 the FCA and tPR conducted regular campaigns, through the ScamSmart branding, to raise awareness of pension scams and what to watch out for, these have been deemed very successful, over 222,000 visited the ScamSmart website to find out how to identify a scam scheme as a result of the most recent pre Covid campaign, July – November 2019.

DWP continues to communicate regularly on social media to set out the warning signs of a scam and has made multiple posts referencing Pension Scams and #ScamSmart in total across Twitter, Facebook and LinkedIn in the period March to September 2020.

Reticulating Splines