The Pensions Regulator (TPR) has launched a consultation on consolidation of 10 of its 15 codes of practice into a single code. Introduction of a single code is described by TPR as aiming to make it easier for trustee boards and advisers to approach scheme governance and administration as well as making it easier to distinguish between legal obligations and the action needed in order to comply with legal obligations.
Separate codes will continue to apply on matters including: Scheme Funding, Notifiable Events, and Material Detriment.
The consultation also incorporates changes introduced by the Occupational Pension Schemes (Governance)(Amendment) Regulations 2018. These regulations incorporate IORP II into UK law and will require schemes to have a system of governance proportionate to the size, nature, scale and complexity of their Scheme. Schemes with more than 100 members will need to carry out a triennial risk assessment.
Further commentary from us on the draft Code and action needed to prepare for the coming into force of the 2018 Regulations is to follow.
"The new code of practice represents TPR's ambition to create a single point of consistent and up-to-date information for all pension scheme governing bodies" - David Fairs, TPR's Executive Director for Regulatory Policy, Analysis and Advice.