A merger between The Pensions Regulator (TPR) and the Financial Conduct Authority (FCA) would be challenging and is unlikely to happen, industry experts say.
Speaking yesterday (29 April) during a panel discussion at the Pensions Administration Standards Association Annual Conference, former pensions minister Guy Opperman suggested a merger between TPR and the FCA is "sadly not going to happen".
The industry has, on occasion, suggested there could be a case for a merger between the pair to improve consistency for savers.
Opperman suggested it is "batshit" that there are two regulators that "don't really talk to each other", adding the situation now "is not functional".
Also speaking on the panel, Department for Work and Pensions head of pensions trusteeship and governance policy Paddy Gavin said if a merger were to happen, the roles "would need to be aligned very closely" and there would be "a lot of challenges in avoiding duplication" across the two.
Opperman added: "I would love the regulators to merge. TPR has over 1,000 employees focused on pensions and there are far less at the FCA. I take the view the FCA would focus on financial services and TPR on pensions."
He suggested while the "relationship is now better" between the two watchdogs, the value for money project – which is a joint effort – has "utterly lost its way", noting a merger would not necessarily fix key issues.
"There is lots they do well together, but they are different beasts," he added.
