The Pensions and Lifetime Savings Association (PLSA) comments on the announced consultation on the defined benefit funding framework published today by the Pensions Regulator.
Joe Dabrowski, Head of DB, LGPS and Standards at the PLSA, said:
“The Regulator’s new funding code will shape conversations at both corporate and trustee boards for some time, especially when taken together with the far-reaching new powers proposed in the Pensions Schemes Bill.
“TPR has clearly done a lot of thinking around the eight very sensible guiding principles but there’s usually devil in the detail that will need careful consideration. This includes the new funding assumptions, assessment and changes proposed to schemes’ ability to benefit from a strong employer covenant. It will also effect schemes’ thinking around long-term strategies – and whether to run on, consolidate or buy-out.
“How the new framework maintains one of the major strengths of the existing Code – it’s flexibility to reflect schemes varying needs and circumstances – is also a key area for examination.
“The DB funding regime is a major priority for the PLSA and its members and we look forward to contributing to the consultation.”
Mark Smith, Senior PR Manager
020 7601 1726 | [email protected]k
Steven Kennedy, PR Manager
020 7601 1737 | 07713 073024 | [email protected]