The FSA has published Consultation Paper 10/26 - Pension reform: Conduct of Business Changes. The CP outlines changes to the FSA Handbook following the Government’s confirmation of the workplace pension reforms. The consultation paper proposes to make a number of additions and changes to Handbook text relating to group personal pensions (GPPs), including:
- making it clear that automatic enrolment does not fall within the scope of the Distance Marketing Directive (DMD); and
- clarifying that FSA and DWP rules for cancelling and opting out are interchangeable and that only one process needs to be followed.
The FSA proposes to extend the scope of its rules to cover all workplace schemes - including GPPs. This will ensure those automatically enrolled into a GPP receive the same protections as those who are part of an occupational pension scheme. The consultation is accompanied by a newsletter and responses are requested by 9 February 2011.