Pensions - Articles - PASA issues third tranche of guidance on GMP reconciliation

 Geraldine Brassett, Chair of the PASA GMP Working Party, commented: “PASA’s GMP guidance is a key part of our commitment to equip and empower our member organisations – in-house and third party administrators - with all that they need to help them better serve their clients. This phase seeks to help with the reconciliation for schemes for this additional stage of the overall reconciliation process. This is particularly timely as HMRC have recently started providing data for these active members.

 “Following the abolition of Defined Benefit (DB) contracting out, any member who had an open period of contracted out service has now been automatically contracted back in with an effective date of 06/04/2016. As well as undertaking the reconciliation process for active members it is also important to ensure that the GMP is reconciled for any members with a GMP who left active membership between the date the GMP reconciliation information for deferred and pensioner members was provided and the 6th April 2016.

 Matt Ashton-Smith, a member of the PASA GMP working group added: “Our latest guidance takes PASA members through the various steps they need to go through in order to support what HMRC expects them to do at this point. We will continue to monitor issues in relation to GMP reconciliation and rectification, publishing further guidance on new developments or specific issues when relevant.”

 Full details of the third phase of PASA’s GMP Guidance and contents of phase one and two, is available on the PASA website