Step-by-Step Process – Daily Business

For years, people were told SIPPs gave freedom: pick your investments, control your savings. It sounded good. For many, it worked. For others, it led to risky bets, high fees, or investments that collapsed. Those experiences are why SIPP mis-selling has become a problem.

If you think your pension was handled badly, you don’t have to accept it. The steps below break the process into clear steps so you can start a mis-sold SIPP pension claim.

Step 1: Confirm You Were Mis-sold a SIPP Pension

Begin by spotting the red flags. Were you encouraged into unusual investments, such as overseas property, storage units, or schemes that weren’t regulated? Were you promised returns that seemed too good to be true? Did fees appear out of nowhere and eat into your balance?

Also, watch for poor or missing advice. If your adviser wasn’t on the FCA register or failed to explain risks in plain language, that matters. Think about your situation at the time: if you were close to retirement and the adviser pushed high-risk options, that doesn’t fit. You may have grounds for a mis sold SIPP pension claim if any of this matches your story.

Step 2: Gather the Evidence

Evidence wins claims. Start collecting everything: transfer forms, annual statements, meeting notes, letters, and emails. Even informal messages or rough notes from a phone call can help.

Build a timeline. Date the advice, note what was said, and record what you chose. For example, if you were told an investment was “low risk,” and the paperwork shows it was an overseas development, that contradiction is powerful. The clearer your timeline, the easier it is to show what went wrong.

If you can’t find paperwork, ask the provider for copies; they must supply statements and transfer records on request. If an adviser refuses, note it down; that can help your case. 

Step 3: Raise a Complaint with the Adviser or Provider

With your evidence ready, write a complaint to the firm. Say plainly what happened, what outcome you want, and attach clear copies of the documents. Ask for a complaint reference number and keep your own copy.

Many firms will resolve matters quickly, but most are allowed up to eight weeks to issue a final response. If the outcome isn’t acceptable — or you receive no proper reply within eight weeks — move to the next stage (escalation) with the evidence you’ve collected.

Step 4: Escalate to the Financial Ombudsman Service (FOS)

If the firm won’t help, refer your complaint to the FOS. You must normally refer the complaint within six months of the firm’s final response. There’s also a longer cap — usually six years from the event or three years from when you discovered the issue. So try to move promptly.

The FOS is independent and will look at both sides and make a fair decision about whether the advice was suitable. If you accept the Ombudsman’s final decision, the firm must follow it; if you don’t accept it, you are free to pursue the claim in court instead.

Step 5: Claim through the FSCS

If the firm was regulated but has stopped trading, you may be able to claim through the FSCS. Gather the firm’s letters and your transaction records, then get in touch with the FSCS to open a claim.

How much you get depends on what failed. Since April 2019, the FSCS can pay 100% with no upper limit if a pension provider fails. In cases of SIPP operator insolvency or claims for poor financial advice, compensation is typically capped at £85,000 per claimant. So, before you press ahead with a mis sold pension claim, have a look at the FCA register to see whether the firm is regulated.

Step 6: Get Professional Legal Help

You can handle a claim yourself, and many people do. But a specialist can make a real difference. A mis sold pension lawyer knows how the FOS and FSCS operate. They’ll spot the evidence that counts and challenge any lowball offers.

Many claims firms and solicitors work on a no-win, no-fee basis. But just check the agreement so you know what fees (if any) apply if the case doesn’t succeed. Ask about any success commission, and who will pay court costs if the case goes that far.

What Compensation Could You Receive?

Compensation tries to put you back where you’d have been if the poor advice hadn’t happened. That usually means repaying investment losses, adding interest where appropriate, or topping up your pension.

Example: if your pension stood at £150,000 before a risky transfer and the transfer later collapsed, a claim could try to recover the original £150,000 and any growth you missed out on. Exact amounts vary. The route you take, whether a firm settlement, an FOS decision, or an FSCS pay-out, affects what you’ll receive.

Conclusion

The idea of chasing a pension claim feels heavy. Do it in small steps. First, establish if you were mis-sold by checking your files. Next, collect evidence — emails, notes, statements. Complain to the firm in writing and save everything. If that fails, escalate to the FOS or FSCS. If you don’t want to do this yourself, get a specialist to help.

Start now. Time limits and firm failures make delay risky. Taking the step increases the odds of getting your money back.