TPR publishes compliance and enforcement policy for CDC pensions

Article summary

The Pensions Regulator (TPR) has published its new compliance and enforcement policy for collective defined contribution (CDC) pension schemes, outlining its risk-based regulatory approach. The policy grants TPR the authority to issue risk notices when concerns arise about a CDC scheme's management, governance, or funding. CDC schemes must obtain TPR authorisation to operate and will be supervised under five key principles. TPR will provide annual evaluation reports to scheme trustees and may de-authorise schemes for non-cooperation. The policy aims to establish general principles for the entire CDC market, emphasising TPR's commitment to supporting innovation while ensuring saver protection. This development coincides with the recent authorisation of the Royal Mail CDC scheme but is intended to apply broadly to the evolving CDC landscape.