Currently, where a scheme trustee structure has both an independent corporate trustee and a second corporate trustee which is not independent from the employer, the legislation requires both trustees to comply with the Member Nominated Director legislation. A new modification to the Pensions Act 2004 provides that, in those circumstances, the independent corporate trustee will not be subject to the MND requirements. The non-independent corporate trustee will still have to comply.
The position in relation to schemes with an independent corporate trustee and individual trustees remains the same - the trustee body as a whole must comply with the MNT requirements, but the corporate trustee is exempt from the MND rules. Schemes where the employer is insolvent and the statutory independent trustee provisions apply are exempt from the MNT/MND legislation.