Proposed Enhanced Powers For Pensions Regulation To Impact D&Os In 2020

A strengthened regulatory framework for the UK's pension regulator (TPR) is set to put directors and officers (D&Os) and trustees under increased legal pressure, whatever the election result.

In the light of a number of high-profile corporate collapses which resulted in significant detriment to defined benefit occupational pension schemes, in 2017 the Government commenced a consultation on strengthening the regulatory framework for TPR. This review culminated in the Government proposing a suite of legislative changes in early 2019, including enhanced information-gathering and sanction powers.

Notably for sponsoring employers and their D&Os, the proposals include a new criminal offence of wilful or reckless behaviour in relation to a pension scheme, attracting a prison sentence of up to seven years and/or unlimited fines. It is also proposed that TPR will have the ability to impose civil penalties of up to £1 million for a range of new offences, including for knowingly or recklessly providing false or misleading information to TPR or to scheme trustees.

The Pension Schemes Bill 2019-2020 was finally introduced to Parliament in mid-October 2019...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT