The Pensions Regulator (TPR) is carrying out seven criminal investigations across 52 schemes regarding around £55m of pension savings being lost to scams.

In a letter to Work and Pensions Select Committee chair, Frank Field, the regulator said that it currently has 38 suspects that it is targeting over the indicative losses.

TPR chief executive, Charles Counsell, stated that the losses “cover a range of complexities and possible outcomes”, from fraud and money laundering to employer-related investments.

Counsell also detailed how the regulator notifies members when necessary as part of its investigations, such as to obtain witness statements.

However, he said that it was more common for the first time that members learn of TPR’s involvement to be when the regulator has appointed an independent trustee to take control of the scheme.

He added: “The independent trustee will write to members upon their appointment and, if they suspect a scam, they will inform members.

“Earlier contact would risk tipping off the scammers who may attempt to steal assets or cover up their actions.”

On Saturday (19 July), The Times reported that pension scams are costing British savers up to £4bn per year.

It revealed that mis-selling cases had risen sharply since the introduction of pension freedoms, while around a third of pension transfers are thought to show signs of scam ‘red flags’.

Counsell’s letter was in response to an evidence hearing last month (26 June), which included discussions on scams, the Railways Pension Scheme and chair’s statement fines.

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