Pensions - Articles - Aon comments on TPRs blog on long term funding

 In our view, if the Funding Regulations go ahead as drafted, schemes will still need to create a Statement of Strategy and consider covenant - so passing Fast Track may not be the only action a scheme has to take to demonstrate compliance.

 “TPR’s blog is also suggesting implementation in October 2023. A survey of Aon’s own clients indicates that 10% or more have valuation dates in Q4 2023. Extrapolating that to the whole DB universe, that means over 500 schemes are 10-12 months from needing to comply. Schemes’ timetables are very squeezed for a process that began with a Department for Work and Pensions green paper in 2017, especially in light of the continuing pressures on schemes to deliver existing change, such as investment strategy reviews, dashboard compliance and GMP equalisation.”