Trustees are to find that their reporting burden will increase as the Government proposes to introduce an obligation on them to report regularly on transfer performance.

The background to this is the Chancellor’s announcement in January that he would be looking to introduce a new duty on the Financial Conduct Authority to cap early exit charges (given the increasing move of members transferring their defined benefit pensions to defined contribution arrangements to take advantage of the “pension freedoms” introduced last year) and the Government’s subsequent consultation on pension transfers and early exit charges. In its response to the consultation published last week, the Government outlined its plans to remove "unjustifiable barriers" to people looking to access their pension pots under the pension freedoms.