Partially upheld: failure to provide agreed ongoing advice services; charging for services not delivered complaint against Quilter Financial Services Limited
Financial Ombudsman decision DRN-6300071 of 2026-04-17T00:00:00+00:00. failure to provide agreed ongoing advice services; charging for services not delivered complaint against Quilter Financial Services Limited. Outcome: Partially upheld.
Decision detail
| Reference | DRN-6300071 |
|---|---|
| Decision date | 2026-04-17T00:00:00+00:00 |
| Firm | Quilter Financial Services Limited |
| Product | pension |
| Claim type | failure to provide agreed ongoing advice services; charging for services not delivered |
| Outcome | Partially upheld |
| Remedy | QFSL must refund all fees charged for ongoing services from September 2019 onwards that were not provided. Refund amounts should be adjusted for growth as if fees had remained invested from date of deduction to final decision date. Compensation should be paid into Mr L's pension plan if possible, adjusted for charges and tax relief. If pension payment not possible, pay as lump sum to Mr L with 15% notional reduction for income tax (25% tax-free, 75% taxed at presumed 20% rate). QFSL must provide calculation details in clear, simple format. |
Summary
Mr L complained that QFSL charged him ongoing advice fees (1% annually) for services that were not provided. QFSL had recommended a pension transfer in January 2015 with agreed annual reviews of his retirement plans. Evidence shows a review was conducted in August-September 2019, but no reviews occurred in 2020 or 2021, and QFSL could not confirm services were provided from February 2022 onwards. The ombudsman upheld the complaint in part, finding QFSL failed to provide agreed ongoing services from September 2019 onwards and must refund associated fees adjusted for growth, with compensation paid into the pension or as a lump sum with tax adjustment.
The Ombudsman's reasoning
The ombudsman applied FCA guidance and COBS 6.1A.22, which require that ongoing charges be levied only where ongoing service is provided, with clear disclosure of service details, charges, and cancellation rights. The expectation is that ongoing advisory services involve personalised recommendations requiring up-to-date information about the client's circumstances obtained through regular engagement and reviews. QFSL clearly set out in advance that Mr L would receive annual reviews as the core ongoing service. Evidence shows a review was conducted in 2019 (fact-find and attitude to risk assessment), but no evidence exists of reviews in 2020 or 2021. QFSL acknowledged inability to confirm services from February 2022 onwards. Therefore, fees charged for services not provided from September 2019 onwards should be refunded with growth adjustment.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Quilter Financial Services Limited, all decisions | 46 | 38% |
Source
Read the original decision on the Financial Ombudsman Service website