Stakeholder update from the Pensions Regulator

07 July 2014

The Pensions Regulator’s latest stakeholder update contains some interesting updates on auto enrolment compliance and DB schemes as well as other topics.

Here is the latest quarterly Stakeholder update from the Regulator:

Our busy year has continued as we've finalised the new DB code and laid it before Parliament. The code represents a significant change in our approach to DB schemes, together with our new regulatory strategy and funding policy. You may also have seen our research report on the costs of running DB schemes and the comparison tool we made available for schemes to compare their running costs. We've had good feedback on this method of laying out the impact of costs on schemes.

You may have seen our first automatic enrolment-specific section 89 report. We hope employers will learn from the lessons of this case, making noncompliance less likely in future. We are continuing to develop our regulatory and communication strategy for automatic enrolment, working with the industry, employers and professional bodies to ensure small and medium employers are fully aware and understand their automatic enrolment duties.

This quarter also saw the publication of our Corporate plan which set out our strategic focus for the next three years, as well as our priorities for the year ahead.

News round up

First automatic enrolment section 89 report

Our first automatic enrolment section 89 report highlights key lessons to help employers avoid non compliance. The report sets out problems experienced by Dunelm Soft Furnishing Ltd and the actions we took.

Research shines a light on DC standards

A new guide which clarifies each regulator's approach, details areas of common ground, and addresses industry concerns that differences in the regulation of trust and contract-based DC pension schemes.

DBcode of practice and annual funding statement

Our draft DB code, which urges trustees and employers to work in a collaborative and transparent way to consider the impact scheme funding proposals may have on the employer's plans for sustainable business growth, was laid before Parliament. Subject to that process, it will come into force in the next few months.

Record-keeping must improve to protect member savings

The failure of more schemes to properly assess the quality of their record-keeping is a serious issue, as our recent research has shown.

Governance survey highlights liberation and automatic enrolment results

Our eighth annual scheme governance survey included new information to reflect changes in the pensions landscape, including automatic enrolment and pension liberation.

Master trust assurance framework

The framework was developed to support trustees of master trusts and the practitioners who are engaged to provide independent assurance reports.

DB pension costs research and comparison tool launched

Research examining how DB schemes of different sizes are impacted by administration and other running costs. We have also developed a charges checklist and a web tool to help trustees assess how the costs of their scheme compare with those of a typical scheme of a similar size.