The Pensions Ombudsman

What are the powers of the Pensions Ombudsman and when should he be used?

The Pensions Ombudsman is a free, impartial forum set up to determine complaints or disputes of fact or law. As a result of the transfer of The Pensions Advisory Service’s dispute resolution function to the Pension Ombudsman with effect from 19 March 2018, the Pensions Ombudsman now offers an informal resolution service (led by its Resolution Team) as well as an adjudication service. Our material explores mainly the workings of the Pensions Ombudsman’s adjudication service.

Completion of a scheme's internal dispute resolution procedure is usually required before an eligible member can file a formal application under the Pensions Ombudsman's adjudication service. Applications must fall within the Ombudsman's jurisdiction and be within three years of the date of the offending act or omission which is the subject of the application. Exceptions to the three year time limit can be made.

The caseworker can request more information from the parties and, where appropriate, the Ombudsman can hold oral hearings, although this is rarely used in practice. After

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Latest Pensions News

Pension Ombudsman’s Pensions Dishonesty Unit wound down due to lack of government funding

The Pensions Ombudsman (TPO) has announced that government funding for the pilot Pensions Dishonesty Unit (PDU) ended in March 2025 but with runoff funds available until October 2025 to complete specific investigations. Those affected by the closing down of the PDU will be guided by TPO to other channels, such as the Pensions Regulator (TPR) and Action Fraud, as well as alternative redress schemes like the Fraud Compensation Fund (FCF). TPO also highlights that while Ombudsman resources are limited, it may occasionally investigate specific PDU cases, particularly when there is no prospect of alternative redress, there is potential for redress from those responsible, or a novel legal issue or scam has been identified. TPO notes that the PDU has issued Determinations in relation to 12 pension schemes involving over 800 scheme members affected by dishonesty and directed redress of over £40m during its time in operation. In any event, TPO is set to continue to work closely with TPR, independent trustees and the FCF to ensure that the pensions industry is effectively working together to support members that are victims of pensions dishonesty.

TPR outlines outcomes of pensions first innovation hackathon with industry professionals

The Pensions Regulator (TPR) has published a blog post by its head of innovation and design practice, Marion Lean, outlining the launch of its Innovation Support Service and the delivery of its first innovation hackathon. The service was introduced to support the development of solutions that prioritise savers’ interests and contribute to economic growth, while addressing the perception that regulation may act as a barrier to innovation. The hackathon, held on 4 June 2025, brought together pensions professionals, service designers and fintech founders to examine sector challenges such as decumulation, financial literacy, support for the self-employed, administrative processes, and environmental, social and governance (ESG) integration.

TPR allows refund of trapped winding-up surplus (Littlewoods Pensions Scheme)

Pensions analysis: The Pensions Regulator (TPR) has overridden the rules of a pension scheme to enable surplus on winding-up to be paid to the employer. This is a timely development alongside the government’s proposals to free up surplus ‘extraction’ while schemes are ongoing. Modification orders like this are rare–the only other one was 15 years ago. Such a payment is generally seen as a ‘refund’ or ‘repayment’ where the employer has paid the balance of cost in a defined benefit scheme. However, pension schemes set up before 1970 did not allow a refund of surplus and may still have restrictions that prevent amendment to allow it. TPR has power to intervene in limited circumstances. The scheme must have a buyout surplus after any augmentation of benefits, and no power to pay it to the employer. The published Determination Notice sets out the conditions to be met and the process followed. Written by Anna Rogers, senior partner at Arc Pensions Law LLP.

Data (Use and Access) Bill to receive Royal Assent on 19 June 2025

The Data (Use and Access) Bill (DUA) is set to receive Royal Assent and become an Act of Parliament on Thursday 19 June 2025. This follows its parliamentary review being finalised on 11 June 2025 and marks the culmination of nearly eight months of parliamentary procedure. Under section 139 of the DUA, most provisions will come into force as and when the Secretary of State appoints regulations. However, a limited number of provisions will come into force upon Royal Assent. This includes section 78, which relates to reasonable and proportionate searches for data subject access requests. It also includes sections 126–128 on the retention of biometric data, and schedule 16 on the grant of energy smart meter communication licences.