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City experts sceptical of jail terms for pension abuse

Former director at the Pensions Regulator said the government’s announcement was ‘political grandstanding, pointless and could never be used in practice’

Work and Pensions Secretary Amber Rudd arrives for a weekly Cabinet meeting
Work and Pensions Secretary Amber Rudd arrives for a weekly Cabinet meeting Photo: Getty Images

A government drive to criminalise pension-scheme mismanagement has come under fire from experts, who fear it will do little to prevent catastrophes like Carillion and BHS from happening again.

In a statement on February 11, the Department for Work and Pensions outlined the new criminal charge of “wilful or reckless behaviour” in relation to pensions in an effort to crack down on abuse of company retirement funds.

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