Pensions - Articles - TPR to lighten burden of Statement of Strategy proposals


The Society of Pension Professionals (SPP) submitted its response to The Pensions Regulator (TPR) Statement of Strategy consultation.

 Whilst much of the information requested by TPR is fairly straightforward to provide, there are a number of areas that will be challenging and costly for schemes.
 
 The Society response is clear that TPR should consider requesting less information. It states, “We believe that TPR is asking for some information that adds little or no value to the Trustees’ decision-making (especially in relation to well-funded schemes in a low dependency asset allocation). It is difficult to understand how providing this is proportionate or useful to TPR and therefore appears to be unnecessarily burdensome for schemes.”
 
 The SPP have suggested TPR make the information requested better reflect scheme circumstances. For example, reducing the requirements for very well-funded schemes, and requiring less information from schemes that are going through a “Bespoke” route purely as a result of affordability constraints.
 
 The SPP also has concerns about the impact of the proposals on small schemes, especially those that are required to go down a Bespoke route where the requirements are particularly challenging.
 
 The Society highlights that “…the requirement to resubmit the Statement of Strategy between valuations if there has been a material change in circumstances e.g. a change in investment strategy… could prove burdensome and may deter small schemes from making strategy changes that would be in the best interests of their members.”
 
 Chris Ramsey, Chair SPP Defined Benefit Committee, said: “Whilst, for most schemes, the information being requested is reasonable and proportionate, we strongly feel that for some what’s being asked for adds little or no real value either to trustees or the regulator itself – stripping that out would clearly benefit all parties. We also have significant concerns about the impact of additional costs on smaller, less well funded, schemes in particular.”
 
 A full copy of the SPP consultation response can be found here
 
 The Government consultation closes on 16 April 2024 and can be found here
 
  

Back to Index


Similar News to this Story

BPA premiums set to fall but number of transactions rise
Market trends, macro-economic volatility and digestion of recent policymaking drive ‘wait and see’ approach for larger schemes. Capacity in the market
Pension industry poised to shift focus from cost to value
Collaborative industry debate with Minister for Pensions, FCA, TPR, DWP and workplace pension providers to inform the forthcoming Value for Money cons
State Pension Age Review assumes triple lock remains
But could be ‘false comfort’ for younger generations. Continuing triple lock could come at the expense of further and faster increases to State Pensio

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.