Almost £2bn has been lost from UK pension pots and SIPPs since 2019 because of financial advisers and providers going out of business, according to new data from the Financial Services Compensation Scheme.

The FSCS has linked with sports broadcaster Jeff Stelling to raise awareness of the problem, particularly among men aged over 45, who appear to be the biggest victims.

The FSCS said that it has received more than 43,000 claims in relation to pension losses in the last five years.

Four out of five of the claims were from men, highlighting the scale of a problem facing those planning for retirement.

FSCS data revealed that some 77% of the pension and SIPP claims handled by the organisation since 2019 have been made by men, with 95% of all claimants aged between 45 and 75.

That's why it has partnered with Mr Stelling to encourage those most at risk to improve their understanding of FSCS protection.

Mr Stelling said: “The impact of losing retirement savings can be devastating. While they vary for each individual, negative outcomes can include a much lower than expected quality of life, with some forced to sell their homes, stay in work for longer than planned, or scale back their retirement plans.

“People think it will never happen to them, but that complacency could cost you your retirement. I’ve seen it happen to footballers on thousands of pounds a day and FSCS sees it happening to hard-working people all the time; savers left with nothing because they’ve taken poor advice or haven’t stayed on top of their savings.”

Martyn Beauchamp, interim chief executive at the FSCS, said: “The financial loss to people’s pensions that we see in our claims is substantial and has serious consequences for thousands of people every year.

“Our free pension protection checker is just one of the tools that FSCS offers to help people feel confident about their money, and we encourage everyone to visit the FSCS website and check that their retirement savings are protected.”

The FSCS is only able to step in and pay compensation on pension and SIPP claims protected under the FSCS’s compensation rules, which typically limits the compensation available to £85,000 per claim. 

The data relates to eligible claims received by FSCS between 1 January 2019 to 31 December 2023.