The Financial Conduct Authority has warned two IFAs and a stockbroker that they face fines and regulatory action over their alleged role in a £5.9m SIPP pension transfer scam.

The FCA has restricted an authorised firm, Sentor Solutions Commercial Ltd, to prevent it carrying out regulated activities without prior written consent from the regulator.

FCA chief executive Nikhil Rathi has pledged to adopt a tougher approach for the regulator in a speech at the Lord Mayor’s City Banquet at Mansion House last night.

The FCA has banned financial advisory firm director Jon Frensham (formerly known as Jonathan James Hunt) from performing any regulated activity after his conviction for a child sex offence.