Adviser firm to pay compensation for unsuitable transfer to SIPP

Ombudsman decision

Sophie King
clock • 2 min read

Advice firm MedDen Financial Services LLP has been told to pay compensation after it gave unsuitable advice for a client to invest in a spa resort through a SIPP.

In 2010, Mr E - as referred to by the Financial Ombudsman Service (FOS) - was advised to transfer his existing pension benefits to a self-invested personal pension (SIPP) by financial advice firm MedDen Financial Services. At the time, Mr E was in his late 30s, employed as a contracts manager and held benefits in two pension plans, one of which was a defined benefit plan with a previous employer, and had a combined value of around £22,000. Mr E invested the SIPP into an unregulated offering called Rimondi Grand Hotel & Spar Resort under the advice of MedDen. He was first made aware of...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Lords move to increase salary sacrifice cap to £5,000 'a pragmatic step'

Lords move to increase salary sacrifice cap to £5,000 'a pragmatic step'

Amendments will reduce or remove the impact of changes to salary sacrifice for most savers

Jonathan Stapleton
clock 12 March 2026 • 3 min read
Pensions minister Torsten Bell: Trust in pensions is 'too low'

Pensions minister Torsten Bell: Trust in pensions is 'too low'

Minister confirmed retirement CDC ‘will happen this year’

Holly Roach
clock 12 March 2026 • 1 min read
Pension schemes' in-house advisers raise conflict of interest concerns

Pension schemes' in-house advisers raise conflict of interest concerns

Growing number of master trusts and DB schemes offering restricted advice

Laura Purkess
clock 18 February 2026 • 3 min read