12 Feb 2019
Senior executives could be jailed for several years if they mismanage workers’ pension schemes under new plans announced by the British government.
The move follows efforts to toughen the state’s approach against the abuse of pension funds, following high-profile pension scheme failures such as at retailer BHS and construction firm Carillion.
Announcing the new criminal offence of ‘wilful or reckless behaviour,’ Work and Pensions Secretary Amber Rudd said: “For too long the reckless few playing fast and loose with people’s futures have got away scot-free. Acts of astonishing arrogance and abandon punished only with fines, barely denting bosses’ bank balances.
“Meanwhile workers who have done the right thing and saved for retirement, confident their investments were safe, are left facing a leaner later life. That cannot be right, which is why, for the first time, we’re going to make wilful or reckless behaviour relating to pensions a criminal offence.”
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