The Pensions Board’s Annual Report for 2012 indicates that there will be an increased focus on non-compliance in 2013 and highlights areas that will receive particular attention.
- Appointment of registered administrators
Since 1 November 2008, trustees of a scheme are required to appoint a registered administrator to undertake specified core functions (unless they appoint themselves as registered administrators to carry out such functions). The Report highlights that too high a proportion of scheme trustees have not fulfilled this obligation.
- Trustee training
Trustees of a pension scheme (including directors of a body corporate that is a trustee) are required to receive trustee training within six months of their appointment and at least every two years thereafter. The Report notes the Pensions Board’s concern that a minority of trustees (particularly trustees of defined contribution schemes) are not meeting their trustee training obligations.
Trustees should ensure that they are aware of their legal obligations under the Pensions Act and should be reminded that non-compliance with these obligations is an offence which can result in on the spot fines and/or prosecution.