TPR to point employers towards pension schemes
The Pensions Regulator (TPR) is to publish a list of group personal pensions (GPPs) on their website aimed at helping employers to comply with their automatic enrolment duties. This will be in addition to the independently reviewed master trusts that are already on the site.
According to TPR, well-run multi-employer master trusts and GPPs are the best way forward for small and micro employers that are preparing to meet their workplace pension duties and the regulator is keen to give them as broad a choice as possible.
GPPs that wish to appear on the ‘choose a pension scheme’ page of TPR’s website must be regulated by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA), where applicable.
In addition, providers of the GPP must confirm that their scheme is open to all employers who wish to use it to comply with their auto enrolment duties, regardless of projected membership numbers or contribution amounts.
The idea behind this is so that the criteria for GPPs to appear on the new list will mirror, as far as possible, the criteria for master trusts. Since appearing on the site is a purely voluntary move, TPR said it is producing a checklist for providers to use when submitting information.
As a spokesman for TPR said, publishing a list of GPPs in addition to the list of master trusts is the right thing to do. He added that the regulator has always stressed that, for the hundreds and thousands of small and micro employers preparing to comply with automatic enrolment, a well-run master trust or a group personal pension is the best choice.
For more information on how Moore Thompson can help you with setting up and running company pension schemes, please contact us.