With Scams Awareness Week in full swing, there has been a renewed focus on the increasing sophistication of pension scams and the vital role the pension industry plays in countering them.

As scams evolve, pension providers face a growing responsibility to stay one step ahead and protect their member's savings.

Since 2020, more than £2.6bn has been lost to investment scams, according to the Pension Management Institute.

As scam tactics become more advanced, the industry must understand this evolving threat and adopt robust fraud prevention strategies to safeguard members.

This week, The Pensions Regulator (TPR) emphasised the importance of industry vigilance, urging the industry to raise its standards of anti-scam practice to prevent fraudsters from reaching savers.

To illustrate the devastating real-world impact of scams, TPR also shared a video this that detailed the story of one of the 245 victims who collectively lost more than £13.5m in pension savings to a scam.

This builds on previous initiatives from TPR, as the regulator, previously launched an industry-wide campaign, supported by the Pension Scams Industry Group.

This initiative encouraged administrators, trustees, and providers to pledge their commitment to protecting scheme members from scams, emphasising that united efforts across the industry can bolster protection for all savers.

However, recent data makes it clear that the threat of pension scams remains high.

Research by LV= revealed that one in seven (14 per cent) UK adults experienced an attempted pension scam between August 2023 and August 2024.

More worryingly, over half (51 per cent) of UK adults stated that pension scams were hard to spot, and less than a third (32 per cent) said they knew how to report them.

This lack of awareness highlights why events like Scams Awareness Week are crucial - not only for industry but also for savers.

While awareness weeks like this are essential for shining a light on scams, meaningful change requires year-round focus and proactive measures.

Pension providers must see scam prevention as an ongoing priority, with constant education, updated detection strategies, and resources for savers.

This is essential to building a resilient defence against pension scams, safeguarding members' futures, and fortifying the industry’s commitment to protecting savers' pension savings.

By making this a priority year-round, the pension industry can stay ahead of scammers and strengthen public trust in the safety of pension savings.

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