Pension fraud is emerging as a significant concern as it poses a threat to individuals' retirement savings and has the potential to undermine trust in pension schemes. As pension scheme administrators and trustees, it is crucial to understand this growing menace and proactively take steps to combat it.
But what does this really mean and what practical steps can administrators and trustees take today to get ahead of the threat of pension fraud and safeguard the interests of scheme members?
Pension fraud encompasses various fraudulent activities, including investment scams, identity theft, and unauthorised access to pension funds. Fraudsters employ sophisticated tactics to exploit vulnerabilities within pension schemes, resulting in devastating financial consequences for individuals.
Our Digital Pensions Fraud Report evaluates the pensions sector's current identity verification standards to stop sophisticated fraud attacks, in the run up to digitalisation.
The growing threat of pension fraud necessitates proactive measures from pension scheme administrators and trustees. By raising awareness, ensuring high data quality, implementing more robust security measures and being able to recognise high risk signals, administrators and trustees can enhance the resilience of pension schemes and protect the retirement savings of their members.