UK - The Pensions Regulator has issued its first analysis of recovery plan data received under the Pensions Act. The data was supplied by schemes in deficit and covers their plans to return to surplus.
The key findings of the report state that trustees and employers are more aware of the need to make prudent assumptions for the calculation of technical provisions and these are of an increasingly high accounting standard.
Of the 70% or so of funds which ‘triggered’ regulator action, the vast majority of problems were fixed relatively easily and there was a high degree of importance being placed on following the regulator's Code of Practice.
However, the regulator warned a failure to adhere to the Code of Practice or not act in the interests of stakeholders would be met with the full force available to the body.
Tony Hobman, chief executive of the Pensions Regulator said: “We have begun to see some failures to agree. We take this issue very seriously and will not hesitate to use our powers if necessary.”
Most respondents in this week's Pensions Buzz do not think businesses should be able suspend AE contributions if in financial distress.
Former BHS owner Dominic Chappell has lost the appeal against his section 72 conviction and sentence for failing to hand over information to The Pensions Regulator (TPR).
This week's top stories include Marsh and McLennan Companies agreeing to buy JLT, and the home secretary calling for AE to be scrapped in a no-deal Brexit scenario.
Lesley Titcomb says the watchdog wants closer interactions with pension funds to spot problems sooner and act before having to use its more stringent powers