Issuing a contribution notice or financial support direction—procedure
Issuing a contribution notice or financial support direction—procedure

The following Pensions guidance note provides comprehensive and up to date legal information covering:

  • Issuing a contribution notice or financial support direction—procedure
  • Step 1—The Pensions Regulator becomes aware of trigger event
  • Step 2—The Case Team investigates
  • Step 3—The Case Team prepares and issues the Warning Notice
  • Step 4—The parties make representations to the Case Team
  • Step 5—The Case Team reviews the representations made
  • Step 6—The Case Team refers the matter to the Determinations Panel
  • Step 7—The Determinations Panel holds a hearing
  • Step 8—The Determinations Panel makes a determination
  • Step 9—Challenge the determination?

FORTHCOMING DEVELOPMENT: On 11 February 2019, the DWP published its response to the consultation ‘Protecting Defined Benefit Pension Schemes—A Stronger Pensions Regulator’ which followed the government’s White Paper ‘Protection Defined Benefit Pension Schemes’ (19 March 2018). The response sets out the measures to be adopted to strengthen the powers of the Pensions Regulator (TPR). Among other things, the government announced its intention to work with TPR and the PPF to amend the Financial Support Direction (FSD) process to a single-stage process, in which the Determinations Panel imposes a particular form/amount, of enforceable financial support on a target. Furthermore, the government will also change the name of the regime to Financial Support Notice (FSN). On the forms of financial support the target of the FSD is required to provide to the scheme, the government is to proceed to tighten the forms of financial support to cash and/or joint and several liability. The government believes that there should still be scope for the target to agree an alternative form of financial support with TPR prior to determination through settlement outside the formal FSD process. None of these FSD changes were made through the Pension Schemes Bill. For more information, see News Analysis: Government to proceed with measures to enhance TPR’s powers.

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