Pension warning: 37% of transfers showing signs of scams to be allowed under DWP proposals | Personal Finance | Finance
XPS broke down this condition further, noting it will give trustees greater ability to prevent transfers in certain circumstances.
The conditions, of which there are four in total, are intended to enable trustees to restrict transfers where there is a risk of a pension scam.
However, XPS explained to minimise the chance of a scam, trustees must continue to carry out robust scam protection measures, such as those recommended by the Pension Scams Industry Group Code on combating pension scams, with these measured including analysing incoming requests and speaking with members to ensure they understand any risks.
Mark Barlow, a Partner at XPS Pensions Group, commented on this: “The ability for trustees to block transfers in certain circumstances is a welcome step forward in the fight against pension scams.