Interactive Investor SIPP (PO-19019)

Ombudsman’s Determination

Outcome

Mr K’s complaint is upheld and, to put matters right, Interactive shall (1) waive or reimburse any costs associated with selling investments in the SIPP, (2) credit the disputed contribution back to the employer’s bank account, (3) credit to the same account, a sum equal to the interest the disputed contribution would have earned had it been cancelled and returned, and (4) pay Mr K £500 in respect of the significant distress and inconvenience this matter has caused.

My reasons for reaching this decision are explained in more detail below.

Complaint summary

Mr K’s complaint about Interactive, the investment manager, and Lifetime, the administrator, is that they incorrectly applied a contribution for £50,000 to the SIPP, despite assuring him it would be cancelled.