FOS partially upholds complaint against Openwork for 'unsuitable advice'

In this case, the complainant - Mr F - complained that Openwork gave him "unsuitable advice" about an offshore life policy - a lifetime income bond. He said he was "misled" into thinking the income was tax-free for life. After surrendering the policy in 2020/21, he faced a £25,192 tax bill plus £1,924 interest which he wants Openwork to cover. In 2015, Mr F invested £300,000 and was assessed by Openwork as a "very cautious investor," the FOS decision set out. The policy paid him £975 a month "tax free income", really tax-deferred, rising to £1,084.92. He declared only the increases...