SIPP Operator Claim
FSCS DEFAULT

Liberty SIPP Ltd — SIPP Operator Claim

Liberty SIPP Ltd is an FSCS-defaulted SIPP operator that systematically accepted business from unregulated broker networks pushing high-risk carbon credits and Ethical Forestry investments. If you held a Liberty SIPP, FSCS compensation is available up to £85,000.

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What Happened

Liberty SIPP Ltd was a SIPP operator that built its client book through a network of unregulated broker firms who directed clients into high-risk, non-standard investments — most notably carbon credit schemes and Ethical Forestry investments. The FOS consistently found that Liberty SIPP had failed to conduct adequate due diligence on both the unregulated introducers directing business to it and the underlying investments placed into client SIPPs.

Clients were typically cold-approached by unregulated firms offering a "free pension review" and then encouraged to transfer defined benefit or personal pensions into Liberty SIPPs to access investments that were presented as low-risk and income-generating. Carbon credits and Ethical Forestry investments subsequently proved to be illiquid, high-risk, and in many cases worthless. The FSCS declared Liberty SIPP in default and is processing claims.

Which Claim Routes Apply

Route 3

FSCS Compensation

Liberty SIPP is in FSCS default. Direct FSCS claims are open for eligible claimants relating to due diligence failures on carbon credits, Ethical Forestry, and other unregulated investments introduced via unauthorised broker networks.

Up to £85,000
Route 4

Civil Litigation — FSMA s.27

Where losses exceed £85,000 or where the introducing broker was unregulated, FSMA s.27 provides a civil court route for full uncapped recovery.

Uncapped — s.27 FSMA
⚠ Time Limit Warning — Act Now

FSCS claims are open following the Liberty SIPP default. However, the FOS six-year absolute clock runs from the date of the original transfer — independently of the FSCS status. For carbon credit investments made between 2010 and 2014, this clock may have expired. The three-year awareness clock and FSMA s.27 civil route each have different limitation rules. Do not assume the window is closed without a formal assessment. See redressadvisory.com/time-limits for the full limitation framework.

Indicative Compensation Range

FSCS Route (Route 3)
Up to £85k
FSCS statutory cap £85,000 per firm
Civil Litigation (Route 4)
Full transfer value
Uncapped — court proceedings

Figures are indicative only and based on typical case profiles. Your actual position depends on your specific circumstances, the transfer value, and the applicable claim route. Not a guarantee of outcome.

Frequently Asked Questions

What was Liberty SIPP?

Liberty SIPP Ltd was a self-invested personal pension operator that accepted introductions from unregulated broker networks. It placed clients into carbon credits, Ethical Forestry, and other high-risk non-standard investments without adequate due diligence on the introducers or the assets.

Can I claim if my Liberty SIPP investment is now worthless?

Yes. The FSCS assesses compensation based on the original transfer amount, not the current value of any worthless investments. Where an asset has been valued at nil, the full original transfer value is the starting point for the loss calculation.

Were carbon credits a legitimate SIPP investment?

Carbon credits were technically permitted within SIPP wrappers under HMRC rules — but permissibility under HMRC rules does not mean the investment was suitable or that the SIPP operator had discharged its due diligence obligations. The FOS has consistently held that SIPP operators had an obligation to assess whether such investments were appropriate before allowing them in.

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Redress Advisory Ltd is a technology platform. It is not a claims management company authorised by the FCA. All regulated claims work is carried out by our SRA-authorised Operating Partner solicitor firms. You may complain directly to the Financial Ombudsman Service (FOS) on 0800 023 4567 or to the Financial Services Compensation Scheme (FSCS) on 0800 678 1100, both free of charge. Compensation ranges are indicative only and are not a guarantee of outcome. Time limits apply. Legal references: Berkeley Burke v FOS [2018] EWHC 2878 · Adams v Options UK [2021] EWCA Civ 1188 · Fletcher v Options UK [2024] EWCA Civ 541.