Pensions - Articles - TPR clarifies description of a professional trustee


The Pensions Regulator (TPR) has clarified its expectations by publishing a revised description of a professional trustee for consultation. TPR’s initiative seeks to raise standards of governance and administration to protect member benefits by being clearer about what it expects trustees to do, and being swifter to take action where standards are not met.

 In response to TPR’s discussion paper and conversations with the industry, trustees asked TPR to be clear about which trustees would be held to higher standards and how that applied to the fines that may be levied on them.

 The consultation on TPR’s draft monetary penalties policy will run from 23 March for six weeks.

 Executive Director for Regulatory Policy at TPR, Andrew Warwick-Thompson said: “By consulting on our monetary penalties policy we are inviting views on our approach to applying fines on trustees and other scheme managers, but we are also sending a clear message that we are getting tougher on poor governance.

 “We want trustees to understand that action may be taken where they fall short of expectations. We have shown that we will act where trustees are not complying even with their basic duties.”

 Today’s consultation also invites comments on our revised description of professional trustees. Previous responses to TPR’s 21st century trustee discussion paper included comments regarding the definition of a professional trustee and requests for further clarification.

 Professional trustees have a higher duty of care to members and we will be looking at how this higher standard can be made clearer. TPR considers a professional trustee to include any person, whether or not incorporated, who:

 acts as a trustee of the scheme in the course of the business of being a trustee
 or is an expert, or holds themselves out as an expert, in trustee matters generally

 Mr Warwick-Thompson said: “We are leading an open and extensive debate on standards of trusteeship and today’s consultation is an important part of the package we are developing that will continue to clarify our expectations of trustees, when we will act and where standards should improve.

 “Our 21st century trustee strategy is seen by us as key to meeting our regulatory objectives. Good governance is essential to pension schemes delivering good member outcomes. This is why we and the industry support improving standards of trusteeship. We will announce further parts of the package and future plans in the coming weeks.”

Back to Index


Similar News to this Story

Wish list for the occupational pensions industry in 2025
As one year closes and another begins, it's an opportune moment to set our sights on the future. The UK occupational pensions industry faces nume
PSIG announces outcome of Consultation
The Pensions Scams Industry Group (PSIG), which was established in 2014 to help protect pension scheme members from scams, today announced the feedbac
Transfer values fell to a 12 month low during November
XPS Group’s Transfer Value Index reached a 12-month low, dropping to £151,000 during November 2024 before then recovering to its previous month-end po

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.