Not upheld: delay in pension benefit payment complaint against Countrywide Assured Plc

Decision detail

Summary

Miss C complained that Countrywide Assured Plc delayed payment of her pension benefits after she requested a retirement pack in April 2025. Countrywide experienced printing delays with the retirement pack and claim forms, and delayed requesting identity verification documents, resulting in a total 19-day delay before pension benefits were paid on 18 June 2025. While Countrywide acknowledged these delays did not meet its service standards, the ombudsman found that Miss C suffered no financial loss because investment values were higher on the actual sale date (23 May) than they would have been on the earlier date (7 May), leaving her approximately £231 better off. The ombudsman upheld Countrywide's position that no financial compensation was warranted and that the £100 paid for inconvenience was fair and reasonable.

The Ombudsman's reasoning

The ombudsman acknowledged that while Countrywide failed to meet its own service standards in three areas (printing delays for retirement pack and claim forms, and delayed identity verification request), the multi-step pension withdrawal process is normal market practice and necessary for regulatory compliance. The key issue was whether Miss C suffered financial loss. The ombudsman found that the 16-day delay before investment sale actually benefited Miss C because investment values were higher on the actual sale date (23 May) than they would have been on the earlier date (7 May). Even accounting for 8% simple interest on the delayed payment, Miss C was approximately £231 better off. Therefore, no financial compensation was warranted, and the £100 paid for inconvenience was appropriate.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website