SIPP Firm Facing 40 FOS Claims Enters Administration

lifetime-sipp-company

The Lifetime Sipp Company, which has recently faced 40 claims at the Financial Ombudsman Service (FOS) has fallen into administration.

The provider, which has around 4,000 members, transferred 40% of its Sipps to Hartley Pensions in January, before appointing administrators in March.

The firm is to meet with the regulator next week to discuss transferring the remaining books.

It’s unclear whether the remaining 60% of The Lifetime Sipp members will be transferred over to Hartley Pensions, and this may depend on the value of the investments in question.

The Sipp operator’s collapse comes two months after Zachary Gallagher, chairman of the Sipp trade body, warned that the Financial Services Compensation Scheme’s (FSCS) decision to pay out for claims against Sipp providers such as Brooklands Trustees, Stadia Trustees, and Montpelier Pension Administration Services would encourage further claims against other Sipp providers.

The reason behind the firm’s collapse has not yet been disclosed, but there have been a number of claims made against the Sipp provider at the FOS.

Denis McHugh, managing director of Hartley Pensions, said: “Hartley Pensions is in discussions with the FCA and the administrators of the Lifetime Sipp to ensure that no consumer detriment occurs through the administration process of The Lifetime Sipp.”

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