Pensions - Articles - Pensions Regulator comments on DWP Master Trust regulations

 TPR has long called for much stricter regulatory controls on master trust schemes and voiced concerns over the current very low barriers to market entry.

 The Pensions Schemes Act 2017 gives TPR tough new powers to authorise and de-authorise master trust schemes.

 TPR believes that authorised master trusts will be the lynchpin in the development of a sustainable and safe occupational defined contribution (DC) schemes market.

 Nicola Parish, Executive Director of Frontline Regulation at TPR, said: “We welcome the publication of the draft regulations for master trust authorisation and I urge trustees and providers to take part in the consultation.

 “We have been in active discussions with the industry for more than 12 months and will publish a code of practice for consultation early next year on how authorisation will work and how the criteria should be met.

 “Our goal is to ensure those responsible for running and governing master trusts understand the requirements and are ready to apply for authorisation, which is expected from October 2018.”