DB pension schemes: Assessing and monitoring the employer covenant
04 September 2015
The Pensions Regulator has published new guidance on the employer covenant, the legal obligation and financial ability of an employer to support their defined benefit (DB) pension scheme.
The guidance is aimed at trustees of DB occupational pension schemes and their advisers, but will also be of interest to the employers of these schemes and their advisers.
It provides practical guidance on how to assess the employer covenant of a DB pension scheme as part of an integrated approach to managing scheme risks and to monitor the covenant and take action to improve scheme security
To emphasise the key points the Pensions Regulator has also created a series of simple pull-outs, checklists and case examples, which are all available alongside the full guidance on their website.