The Lifetime SIPP Company Limited (Lifetime SIPP) entered administration in 2018 having faced numerous complaints from unhappy customers.
The corporate recovery process has not been successful and according to Companies House, the company has now entered into liquidation i.e. the process by which all assets are sold before the company is dissolved. This process is likely to take years rather than months, to conclude.
Consumers that have lost money having transferred their pension into a Lifetime SIPP to facilitate investment into unregulated propositions, must now look to the Financial Services Compensation Scheme (FSCS), for recourse.
The FSCS is the industry’s lifeboat which can pay compensation to customers of authorised financial services firms that are unable or unlikely to be able to pay claims.
It is reported that the FSCS has already received 450 claims against Lifetime SIPP and in a welcomed move; the FSCS has recently increased its compensation threshold from £50,000 to £85,000.
Here at Hugh James, we represent a number of clients who now face a lengthy wait while the FSCS investigates the background and circumstances surrounding claims against Lifetime SIPP. This involves legal research and independent legal advice given the complex nature of these claims.
Lifetime SIPP operated over 4000 SIPPs.