Quilter’s Ongoing Advice Review Continues Amid
Record Profits Announcement

Consumer Duty was introduced by the Financial Conduct Authority (FCA) in 2023 and aims to raise standards for consumers across the financial services industry. Financial firms must put their customers’ needs first by providing support when they need it, making information easy to understand and offering products and services that are of fair value. This includes the provision of ongoing financial advice and annual reviews. Firms also need to demonstrate that they are continuously learning and improving.

In February 2024, the FCA wrote to Quilter with concerns over past practices and data, particularly in relation to fees and charges for ongoing financial advice. Quilter said at the time it would appoint a ‘skilled person’ and may need to set aside a pot of money for client compensation.

A ‘skilled person’ is an independent expert, approved by the FCA, whose job is to analyse the data, processes and outcomes of a firm and to prepare what is known as a ‘section 166 report’ outlining any problems, losses that customers might have suffered and recommendations for redress.

Quilter’s skilled person review has been underway for several months, but no findings have been published to date. It is not clear how much money will need to be set aside to compensate customers.

Quilter has an increasing number of Financial Ombudsman Service (FOS) decisions against it. Many of these relate to Defined Benefit Pension Transfer advice, where investors were persuaded to transfer out of solid, dependable workplace pensions into more flexible Self-Invested Personal Pensions (SIPPs).

Defined Benefit pensions often come with a guaranteed level of income or generous death benefits, whereas SIPPs don’t. The new SIPP must perform exceptionally well to outweigh the loss of these benefits, but many don’t, leaving investors out of pocket. There have been many cases where unsuitable advice has resulted in people being sold SIPP products with high management fees, lower-than-promised returns, or high-risk investments which can become worthless.

Anyone who has been mis-sold a pension or investment by Quilter or one of their appointed representatives can make a complaint directly with the company involved. If the outcome is unsatisfactory or unsuccessful, it may be possible to make a complaint to the Financial Ombudsman Service who have the power to award compensation.

Once an investment has been set up, such as a SIPP with Quilter, part of their ongoing service agreement includes the provision of annual reviews and advice. If these have not been carried out, then you may be entitled to make a refund claim.

In addition to a refund for overcharged fees, you may be entitled to the loss of growth on the funds, plus interest. If you want to know more about Quilter refund claims, check out our Frequently Asked Questions or contact us.

Sarah Spruce, Legal Director and Head of the Professional Negligence team at TLW Solicitors, says:

“People can sometimes be worried about making a claim against the company that looks after their investments. They may have a good working relationship with their financial adviser and don’t want to cause any upset or embarrassment. Or they may be worried that the value of their investments could be affected by a claim. However, it is much more important to ensure that your investments and, in some cases, even retirement security come first. Making a refund claim should not have any impact on your investments.

“Whether you are worried about an unsuitable pension transfer or paying fees for advice you haven’t received, our experienced team can act on your behalf on a ‘no-win, no-fee’ basis, managing the whole claims process, ensuring you get back the money you are rightfully owed.”

TLW Solicitors has a team of experienced financial mis-selling lawyers who can help you with your Quilter refund claim. We can assess your case and make a ‘no win, no fee’ refund claim.