Lighthouse Advisory censured for unsuitable British Steel Pension Scheme advice

The Financial Conduct Authority has censured the former Lighthouse Advisory Services for "serious failings" in its advice to 1,567 customers looking to transfer out of defined benefit pension schemes between 1 April 2015 and 30 April 2019.

During this period there was a marked increase in the number of customers that Lighthouse advised on defined benefit pension transfers than previously. Some of these customers (262) were members of the British Steel Pension Scheme: "Many were in a vulnerable position due to uncertainty around the scheme," and, "Many of those Lighthouse advised were relying on their BSPS pension as their main source of retirement income," says the regulator.