Scottish Widows mis-selling? May 26th, 2008

Scottish Widows has been accused of giving negligent advice that has resulted in total losses of around £300m for 100 pension schemes. A dossier of evidence has been sent to the Financial Services Authority (FSA) for them to review by an organisation called the Actuarial Review Company (Arc).

Scottish Widows have responded by saying ”To our knowledge we are not in receipt, and have had no advance notification, of the dossier that has been reportedly submitted to the FSA, Pensions Regulator and Actuarial profession.  As a result it is very difficult to make any substantive comment on its content.

It remains to be seen whether the dossier provided by Arc stands up to FSA scrutiny. If it does, then cases against other life insurance companies are likely to be put forward. Either way the news won’t do anything to help Scottish Widows owners - Lloyds TSB.