The Financial Services Compensation Scheme (FSCS) has declared a financial advisory firm in Stoke-on-Trent as failed.
- Norrix Financial Services, formerly known as RNAMK, faced this declaration following pension transfer advice claims.
- The FSCS upheld one complaint, rejected another, with one still under investigation.
- The firm’s authorisation was revoked by the Financial Conduct Authority (FCA) this November.
- Norrix Financial Services was incorporated in 2002 but dissolved in the same month this year.
The Financial Services Compensation Scheme (FSCS) has formally declared the failure of Norrix Financial Services, a financial advisory firm based in Stoke-on-Trent, due to issues related to pension transfer advice. This decision was prompted by three complaints lodged against the firm, with one complaint upheld, another rejected, and the third still pending investigation. Notably, these complaints did not involve the British Steel Pension Scheme.
Norrix Financial Services, which operated under the name RNAMK before rebranding, was initially registered with the Financial Conduct Authority (FCA) in August 2003. However, the firm’s status was altered, and it ceased to be authorised as of November this year. In conjunction with this regulatory change, Companies House records indicate the firm was incorporated in October 2002 and officially dissolved in the same month it lost FCA authorisation.
The company’s decline underscores the importance of vigilance in the financial advice sector, especially concerning pension transfers. As evidenced by the FSCS’s involvement, regulatory bodies play a crucial role in maintaining industry standards and protecting consumers from potentially harmful advice. The dissolution of Norrix Financial Services highlights the consequences firms may face when complaints are substantiated by authorities like the FSCS.
This situation illustrates the vital role of regulatory oversight in safeguarding financial advice standards.
