Good to know: You do not need to use a claims management company to make your complaint to your pension provider or intermediary. If your complaint is not successful you can refer it to the Financial Ombudsman Service or the Pension Ombudsman yourself for free if the firm is still trading. For eligible failed firms, you can refer a claim to the Financial Services Compensation Scheme for free.
Were you talked into transferring your final salary pension to a risky Dolphin Pension Trust Sipp? If so, you could be eligible for final salary transfer compensation.
The Dolphin Pension Trust (now known as the German Property Group (GPG)) is an unregulated property investment scheme sold to unsuspecting British pension holders. The company specializes in refurbishing listed German properties into luxury flats. Founded in 2008, GPG has since reined in more than £900 million of investment from clients worldwide.
The problem started when independent financial advisers convinced final salary pension holders to swap their desirable pensions for a cash payout, taking big commissions off the top. With the rest of the money, they encouraged investment into Dolphin Pension Trust/ GPG Sipps (Self-Invested Personal Pensions). While some of the early adopters saw good returns, the scheme is now faltering, and pensioners are losing a lot of money.
The Financial Conduct Authority (FCA) has raised the alarm bell about missold salary swap schemes like this one. They urge caution when dealing with independent financial advisers who recommend swapping away from reliable final salary pensions. These advisers do not consider the suitability of pension transfers for individual clients and are instead motivated by their own financial interests.
If you were the victim of a missold DB transfer, you could be entitled to defined pension compensation – read ahead.
Final salary pensions, also known as defined benefit pensions, are very rarely offered today. They are considered highly desirable because they continue to pay out for as long as you live, and they keep up with the rate of inflation. That means you will always be able to afford your current standard of living.
On the other hand, private pensions are fixed. They are subject to market rates, and they do not keep up with inflation. Your private pension pot is limited – when the money is gone, it is gone. That means you can end up destitute during your retirement years if you outlive your pension money or the market takes a turn for the worse.
As you can see, final salary pensions are very desirable and valuable. This has caused unscrupulous independent financial advisers to look for ways to cash in on these products – missold DB transfers are a bigger problem than ever. Pension holders like you have been advised to trade in their final salary pension for a ‘Cash Equivalent Transfer Value’ (CETV) and to use this payout to invest in Dolphin Pension Trust Sipps. They make this sound like a great opportunity when in reality, many pension holders have seen their income drop by 50%.
It’s rare for this kind of missold salary swap to benefit the pension holder. Other than in cases of terminal illness, taking a CETV can substantially reduce your pension earnings later in life. If you were advised to make this swap, you could be eligible to make a defined benefit claim, and you could receive defined benefit compensation.
If you were advised to invest in the Dolphin Pension Trust with your CETV, you are likely a missold salary swap victim. Our expert Allegiant team can help you get the salary swap compensation you deserve.
To have your prospects assessed by our specialist team, simply fill in our online form.
Apply NowIn this article, Allegiant’s Pensions & Investments Manager, Andy Ramsay, explores the fundamental differences between the Court and Ombudsman routes for resolving pension & investment claims. The article highlights key differences in:-
Andy further explores outdated preconceptions about Claims Management Companies. This short summary is essential reading for anyone planning on making a pension or investment claim with the assistance of a CMC or law firm.
Click to ReadYou may have heard of the Financial Services Compensation Scheme (FSCS), but do you fully understand its vital role within the UK’s financial services sector? In this short piece, we look at:-
This article will be of particular interest to anyone with a potential compensation claim against a financial service provider that has collapsed.
Click to ReadThe Financial Conduct Authority (FCA) has identified ‘serious and ongoing failings’ by both Individual Financial Advisers (IFAs) and Self-Invested Personal Pension Providers. Typically, mis-selling is related to the “wrong” type of investor being given poor or misleading advice as to what investments were relatively safe and right for them. In this summary, we look at What a SIPP is, and how they have been mis-sold, together with the FCA’s review into sector malpractice.
Click to ReadPre complaint investigation and analysis. No paperwork? Don't Worry! We could still help.
Once we've assessed claim prospects, we make a pension complaint to the Ombudsman or FSCS, where appropriate
Pension complaint response received. We'll carefully analyse the response and advise you on how to proceed.
If appropriate resolution cannot be reached with a live firm, and we disagree with their stance, we will refer the claim to Ombudsman on your instruction.
As of the 1st March 2022 we have implemented a new fee structure which we have explained below. If you signed your contract with us prior to the 1st March 2022, please refer to your signed claims pack for our previous fee terms.
Our fees are owed upon a successful claim and will depend on the Gross Compensation you receive. “Gross Compensation” means the amount awarded to you whether this is paid directly to you or paid into an investment or pension, and prior to any deduction of any income tax due to HMRC on your award. Please refer to the definition of “Gross Compensation” and Section 5 of our Terms of Engagement for further information including a table showing how our fees work in different scenarios.
If successful, your fee will be calculated based on which band your redress falls into and will be charged by whichever is the lowest of:
The below table outlines the redress bands, the maximum percentage rate of charge and the maximum total charge is for each band.
Band | Redress | % Charge (with VAT) | Maximum charge (with VAT) (£) | Maximum charge (without VAT) |(£) |
1 | 1 – 1499 | 36% | 504 | 420 |
2 | 1,500 – 9,999 | 33.6% | 3000 | 2500 |
3 | 10,000 – 24,999 | 30% | 6000 | 5000 |
4 | 25,000 – 49,999 | 24% | 9000 | 7500 |
5 | 50,000+ | 18% | 12,000 | 10,000 |
Examples of how this would work in practice:
Band | Lower example | Higher example |
1 | You receive £100 in redress; our fee would be £36. | You receive £1499 in redress; our fee would be £504. |
2 | You receive £1,600 in redress; our fee would be £537.60. | You receive £9,999 in redress; our fee would be £3,000. |
3 | You receive £12,000 in redress; our fee would be £3,600. | You receive £24,999 in redress; our fee would be £6,000. |
4 | You receive £30,350 in redress; our fee would be £7,284. | You receive £49,999 in redress; our fee would be £9,000. |
5 | You receive £55,000 in redress; our fee would be £9,900. | You receive £100,000 in redress; our fee would be £12,000. |
Please note, the above fee examples are for illustration purposes only. They are not an estimate of the likely outcome or fee you will need to pay. Each claim depends on its own merits.
It is possible that our fee may become payable before you have access to your pension or investment which may result in you having to pay our fee from your own funds
You can cancel for free at any time within 14-days without giving any reason and without incurring any liability. You can communicate your cancellation by telephone, post, email or online.
You can cancel this agreement at any time after the 14-day cancellation period. However, if a complaint submitted by us is successful, the Success Fee will apply in the usual way.
You can cancel by post: Allegiant Finance Services Limited, Freepost RTYU–XUTZ–YKJC, 400 Chadwick House, Warrington Road, Birchwood Park, Warrington, WA3 6AE; (b) by email: [email protected]; (c) by telephone: 0345 544 1563; or (d) online at https://allegiant.co.uk/compliance/cancellation.
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We’ll treat your claim as strictly confidential. Your personal information is safe with us.
We’ve serviced over 100,000 clients across all service lines since our inception in 2010.
We could still help if you don’t have all your paperwork or details. Our team are experienced in helping locate paperwork where possible.
Our online application system and claim audit surveys enable us to offer an efficient and convenient claims journey.
Good to know: You do not need to use a claims management company to make your complaint to your pension provider or intermediary. If your complaint is not successful you can refer it to the Financial Ombudsman Service or the Pension Ombudsman yourself for free if the firm is still trading. For eligible failed firms, you can refer a claim to the Financial Services Compensation Scheme for free.