Adviser Mark Abley pays £106k for poor pension transfer advice

Mr Abley will also pay £106,100 to the Financial Services Compensation Scheme (FSCS) rather than the FCA, to contribute towards the redress owed to CCWM’s customers. If he fails to pay this amount or any part of it, the FCA will enforce this amount as a fine.

Between April 2015 and February 2018, CCWM advised 575 people to transfer out of their defined benefit pension schemes – including almost 150 members of the British Steel Pension Scheme. Mr Abley was responsible for this advice, over half of which (56%) failed to meet the required standards and showed a lack of competence. He received a financial benefit of at least £60,000 for providing this advice.

Mr Abley did not obtain the information needed to make a suitable recommendation or properly assess whether the customer could understand and bear the financial risks of transferring their guaranteed pension. He failed to provide evidence to show that the transfers were in his customers’ best interest. There were also errors in the calculations used to compare customers’ existing pension schemes with the schemes it was proposed they transfer into. 

Therese Chambers, joint Executive Director of Enforcement and Market Oversight at the FCA said: 

‘Mr Abley’s incompetence meant that he failed to give customers the advice they needed to make a significant decision about their retirement. This included hundreds of people who were dealing with the uncertainty around the British Steel Pension Scheme. He earned fees while putting their retirement money at risk. It is only right that he contributes to the costs of compensating these customers.’

As of 14 March 2023, the FSCS has upheld 53 Pension Transfer claims against CCWM and paid out over £2.1m in compensation to customers of CCWM. Any customers who were advised to transfer should contact the FSCS to see if they are owed redress.

Notes to editors

1. Final Notice 2023: Mark Antony Abley[1]
2. British Steel Pension Scheme - our approach to enforcement[2]
3. The average transfer value for the customers within the 18 files reviewed by the FCA was £287,943. This ranged from £51,218 to £826,875.
4. In 6 cases the FSCS awarded the claimant the maximum compensation available of £85,000. Had it not been for the compensation limit of £85,000, the total compensation payable to customers would have been approximately £2.36m.
5. CCWM’s professional indemnity insurance provides cover up to £1.75m which may reduce the burden on the FSCS. 
6. Mr Abley settled the case and therefore qualified for a 30% discount on the penalty.
7. Customers who wish to make a complaint to the FSCS can find out more information[3].
8. Find out more information about the FCA[4].