Nigel Farage Criticised for Promoting Physical Gold in Pensions via Direct Bullion
Nigel Farage earns about £400,000 per year from a four-hour-a-month role with Direct Bullion, where he promotes physical gold as a pension investment.
The promotion centers on placing physical gold into self-invested personal pensions (SIPPs) through social media videos on Facebook and YouTube.
Some of these videos have been criticised for lacking adequate disclaimers about key risks, such as gold price volatility, the absence of guaranteed income, storage costs, and the fact that gold does not pay income.
Tom McPhail, from the Pensions Policy Institute, described investing in physical gold within pensions as a niche strategy best suited for sophisticated investors, while advising most people to opt for a diversified default pension.
Farage claims that investors who have followed his advice have seen returns exceeding 100% since his association with Direct Bullion began.
Tom Brake, chief executive of Unlock Democracy, filed a complaint with the Advertising Standards Authority about the Direct Bullion videos, highlighting missing or barely legible disclaimers and potential regulatory issues.
Reform UK criticized the Guardian's focus on font sizes, noting that Direct Bullion did not respond to requests for comment and emphasizing that Farage's relationship with Direct Bullion predates his time as a Member of Parliament.
Kate Marshall of Hargreaves Lansdown commented that gold can play a part in a diversified pension portfolio but exposure should be through simple, low-cost options like the iShares Physical Gold ETC.
In addition to his Direct Bullion role, Farage earns approximately £450,000 annually as a GB News presenter since entering Parliament, about £48,000 a year as a Telegraph columnist, and more than £50,000 annually as a Sky News Australia commentator.
