Obtaining clearance from the Pensions Regulator
Produced in partnership with Vikki Massarano of ARC Pensions Law
Obtaining clearance from the Pensions Regulator

The following Pensions guidance note Produced in partnership with Vikki Massarano of ARC Pensions Law provides comprehensive and up to date legal information covering:

  • Obtaining clearance from the Pensions Regulator
  • What is clearance?
  • When should a clearance application be made?
  • What are Type A events?
  • Employer-related Type A events
  • Scheme-related Type A events
  • Mitigating a Type A event
  • Who should make the application?
  • Trustee position
  • Making an application for clearance
  • more

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 set out the measures to be adopted to strengthen the powers of the Pensions Regulator (TPR). Following the Queen’s Speech of 14 October 2019, the government unveiled a Pension Schemes Bill on 16 October 2019 which, among other things, aims to carry forward the proposals outlined in the response to strengthen TPR powers, including by creating two new grounds on which contribution notices can be issued, and to introduce new criminal offences targeting reckless behaviour in respect of defined benefit (DB) schemes. An increase in clearance applications is expected following the coming into force of the changes. Helpfully, TPR intends to review its clearance guidance to clarify its expectations as to what employers and trustees should do. For more information on the detail of the changes outlined in the Bill, see News Analysis: Pension Schemes Bill 2019 (Part 1)—strengthening TPR powers and sanctions.

THIS PRACTICE NOTE APPLIES ONLY TO DEFINED BENEFIT (DB) OCCUPATIONAL PENSION SCHEMES

What is clearance?

The Pensions Act 2004 (PeA 2004) empowered the Pensions Regulator with a raft