The Pensions Regulator has welcomed news of the first occupational defined contribution (DC) master trust, The People's Pension, to obtain independent assurance.
The voluntary assurance framework, published in May, was developed by the Institute of Chartered Accountants of England and Wales (ICAEW) in association with the regulator to support auditors to provide independent assurance reports for the trustees of master trusts.
The framework has been designed to evidence the key quality features set out in the regulator’s code of practice for DC schemes.
Andrew Warwick-Thompson, The Pensions Regulator's executive director for DC and public service pension schemes, said:
"Properly run occupational DC master trusts are playing a key role in the automatic enrolment project and so it is vital that such schemes are able to demonstrate high standards through the independent assurance framework.
"I am pleased that we have already seen the first master trust obtain independent assurance since the framework was published in May and expect other schemes to adopt this important accreditation in the coming months.
"Master trust assurance will give employers the confidence to choose a master trust scheme that can evidence the presence of the key quality features which the regulator believes underpin good member outcomes. It will also help to guard against providers without the necessary resource and competence to operate a high quality scheme."
ICAEW has published guidance on applying the assurance framework to occupational DC master trusts.
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