Upheld: Account administration errors complaint against Quai Investment Services Limited
Financial Ombudsman decision DRN-5742980 of 2025-09-26T00:00:00+00:00. Account administration errors complaint against Quai Investment Services Limited. Outcome: Upheld.
Decision detail
| Reference | DRN-5742980 |
|---|---|
| Decision date | 2025-09-26T00:00:00+00:00 |
| Firm | Quai Investment Services Limited |
| Product | Pension |
| Claim type | Account administration errors |
| Outcome | Upheld |
| Remedy | Quai must: (1) provide a full transaction listing from 1 January 2024 to date in an easy-to-read format with clear descriptions of each transaction; (2) calculate what the May 2024 contribution would have been worth on the date of final decision if correctly passed on 23 May 2024, including investment returns from 23 May 2024 to the decision date; (3) compare this with the actual value as at the decision date; (4) if a loss is shown, pay redress into Mr D's pension plan if possible (allowing for charges and tax relief), or as a lump sum with a 15% notional tax reduction if pension payment is not possible; (5) pay 8% simple interest per annum if payment is not made within 28 days; (6) pay £200 for distress and inconvenience unless already paid; (7) provide calculations in clear and understandable format. |
Summary
Mr D complained that Quai failed to pass on his May 2024 pension contribution of £833.33 to his platform provider. Quai received the contribution on 20 May 2024 but did not pass it on until December 2024, approximately 7 months later, contrary to its established practice of passing contributions the working day after receipt. According to Mr D's IFA, only £362.93 was eventually paid to the platform provider, leaving £470.40 unaccounted for. Quai's failure to respond promptly to the complaint and provide clear transaction information compounded the issue. The ombudsman upheld the complaint and ordered Quai to provide clear transaction listings, calculate the loss including investment returns from 23 May 2024 to the decision date, and pay compensation of £200 for distress and inconvenience.
The Ombudsman's reasoning
The ombudsman found that Quai received the May 2024 contribution but failed to promptly pass it to the platform provider, contrary to its established practice of passing contributions the working day after receipt. The transaction data provided by Quai was unclear and incomplete, showing only cash balances rather than all funds held. Based on the IFA's figures, Mr D lost £470.40 plus investment returns from 23 May 2024 (when the contribution should have been passed on). Quai failed to provide clear information about whether and how it corrected the mistake, and the ombudsman was not persuaded by Quai's argument that it could not complete a loss calculation.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Quai Investment Services Limited, all decisions | 12 | 100% |
| Account administration errors, all decisions | 25,844 | 25% |
| Pension, all decisions | 15,579 | 47% |
Source
Read the original decision on the Financial Ombudsman Service website