Marvin OnumonuThe Pensions Regulator (TPR) has told trustees to start preparing for the pension schemes bill now to make sure they keep offering a good service.
Patrick Coyne, interim director of policy and public affairs at TPR, said the regulator is working to bridge the gap between new duties from the bill and the need to govern schemes well.
Speaking at the Professional Pensions DC conference, Coyne said there are four main themes in the bill that trustees should be looking at.
For each area, he said trustees should take action now.
Coyne said trustees need to be focused on saver outcomes and look at their investment strategy, pushing advisers to give useful insights and comments on performance.
He added that trustees should consider their value proposition and look at practical steps for consolidation if needed for savers, or consider investment opportunities like long-term asset funds (LTAFs) if they already have scale.
Coyne also said schemes should be data-led and accountable, which means investing in digital infrastructure to keep data quality high ahead of pension dashboards.
Additionally, He noted that trustees should talk to administrators to see what can be offered at different price points.
He added that trustees should start discussing decumulation products and services at board level and come to TPR’s innovation support services if they have early ideas.
Coyne said: “The Pension Schemes Bill will fundamentally reshape the DC market.
“There are a number of steps that schemes can take now to get ready.
“So I urge trustees to look now at how they are outcome-focused, building scale, are data-led and supporting savers into retirement.”
