Pensions analysis: The First-tier Tribunal has had the opportunity to opine on the issue of whether the fine for non-compliance with the requirements to issue a Chair’s Statement is quite as mandatory as we thought and whether there are any circumstances where it should not be issued. The Tribunal held that the fine was generally mandatory but there are, in fact, exceptional circumstances where it should not be issued. This gives the industry, and the Regulator, much more clarity on how to apply mandatory fines, and when and where they do not apply. Written by Rosalind Connor, partner at Temple Bright.

THIS PRACTICE NOTE APPLIES IN RELATION TO FLEXIBLE BENEFITS As part of the pensions freedoms (also known as pension flexibilities) introduced on 6 April 2015, all scheme members with flexible benefits (effectively, money purchase and cash balance benefits) are entitled to free impartial guidance at retirement to help them make the most of their pension savings. This is referred to in this Practice Note as the ‘Pension Wise guidance’, named after the Pension Wise brand under which it was first launched. Since 30 June 2021, the Pension Wise guidance has been delivered by MoneyHelper, which is the consumer-facing brand of the Money and Pensions Service (MaPS, previously known as the Single Financial Guidance Body). For further information on MaPS, see Creation of the Money and Pensions Service (MaPS), below. Objectives of the Pension Wise guidance The primary objective of the Pension Wise guidance is to equip and empower individuals to make informed and confident decisions on how they use their flexible benefits, enabling them to navigate the options. Other objectives include delivering the guidance in a clear

What is the Pensions Advice Allowance? Following a period of consultation in 2016/17, the government introduced, with effect from 6 April 2017, a Pensions Advice Allowance which allows certain pension scheme members to access a set amount of money from their pension pot tax-free to pay for holistic retirement advice. At the member’s request, a pension scheme can thus reduce the value of the member’s pension pot by the amount of the advice fee and transfer the funds directly to the member’s adviser. This was recommended by the Financial Advice Market Review, which had identified an advice gap for those who need retirement planning advice but do not have the means to pay for it from their net-of-tax income or savings. The Pensions Advice Allowance is available in addition to a number of other existing advice allowances and methods of payment for advice. This includes adviser charging, which does not allow money from pensions to be used to fund holistic retirement advice. For further information, see Other types of pensions advice measures below. The government aims to

An independent and non-profit making organisation that provides free information and guidance to any individual who has a complaint or dispute with their occupational or personal pension arrangement.

The Pensions Ombudsman (TPO) has published guidance on its Resolution team explaining what it is, how it operates and options the parties to a complaint have, including what happens if a complaint progresses to the Adjudication Team.

This guide is primarily aimed at trainees, newly qualified lawyers and other persons who are new to or unfamiliar with pensions law. THIS PRACTICE NOTE APPLIES TO TRUST-BASED OCCUPATIONAL PENSION SCHEMES This beginners’ guide looks at the jurisdiction of the Pensions Ombudsman to deal with occupational and personal pension-related complaints and disputes, including: • the role of the Ombudsman • who can bring a complaint before the ombudsman and how it is done • the types of complaints/disputes that cannot be determined • the Ombudsman’s powers of redress, and • how to appeal decisions made by the Ombudsman What is the role of the Pensions Ombudsman? The Pensions Ombudsman is responsible for investigating and determining: • specified authorised complaints about injustice in consequence of maladministration by trustees, managers and employers involved in occupational and personal pension schemes • disputes of fact or law between specified authorised complainants and trustees, managers and employees involved with occupational and personal pension schemes, and • any question about carrying out trustee duties when

ARCHIVED: This Practice Note has been archived and is not maintained. It looks at some of the key decisions made by the Pensions Ombudsman and courts up to 2017 in relation to the Ombudsman’s jurisdiction, remedial powers and certain procedural matters, as well as the standards required for ill-health retirement decisions. For further information on some key themes from recent Pensions Ombudsman determinations in relation to the interpretation of scheme rules, the duties of trustees/providers, trustee/provider communications with members, employer duties, pension liberation, and the role/jurisdiction of the Ombudsman, see Practice Note: The Pensions Ombudsman—key themes from the determinations. The Pensions Ombudsman's determinations are not binding precedents, whether on the same Pensions Ombudsman or his or her successors in office. Nevertheless, they are useful as guidance. Historically, they are generally referred to by the name of the complainant and the case reference number given by the Ombudsman's office (whereby a letter indicates the year in which the complaint was received, followed by a unique number for that case). In May

FORTHCOMING CHANGE : On 19 May 2026, the Financial Services and Markets Bill was introduced in Parliament. If enacted, it will reform the Financial Ombudsman Service (FOS) by introducing a ten-year time limit for complaints under its compulsory jurisdiction; requiring the FOS to refer matters with significant market implications, or involving ambiguous FCA rules, to the FCA; revising the ‘fair and reasonable’ test and prescribing matters to be considered when applying it; and requiring the FOS and FCA to publish joint reports on the ombudsman scheme. For further information, see: Legislation tracker—pensions — Forthcoming Acts and Bills. This Practice Note looks at the jurisdiction of the Pensions Ombudsman to deal with occupational and personal pension-related complaints and disputes under its adjudication service, including: • who can make or refer complaints/disputes • the types of complaints/disputes that can and cannot be determined • the powers he may exercise in doing so, and • applicable time limits Note

The Pensions Regulator (the Regulator) is a non-departmental government body created by the Pensions Act 2004 (PeA 2004). The power of the Regulator to issue contribution notices and financial support directions is located in PeA 2004, ss 38–50. These provisions are commonly referred to as the ‘moral hazard’ powers of the Regulator although this name is not found anywhere in PeA 2004. They are intended to address the risk of ‘moral hazard’ caused by the existence of the Pension Protection Fund (PPF), namely the risk that corporate groups would structure their affairs in a way that increased the risks to their pension schemes, safe in the knowledge that the PPF would have to step in if insolvency of the employer company occurred. The two main moral hazard powers are the power to issue a contribution notice (CN) and the power to issue a financial support direction (FSD). A CN requires the person to whom it is issued to make a contribution

THIS PRACTICE NOTE APPLIES TO UK DEFINED BENEFIT (DB) OCCUPATIONAL PENSION SCHEMES ARCHIVED: This Practice Note has been archived and is not maintained. It considers the Pensions Regulator’s approach to funding defined benefit pension schemes for scheme valuations with an effective date before 22 September 2024, in accordance with the Code of Practice on funding defined benefits dated 29 July 2014 and relevant annual funding statements. It also summarises the Pensions Regulator’s approach before July 2014. For information on the Pensions Regulator’s approach for scheme valuations with an effective date on or after 22 September 2024, see Practice Notes: DB pensions funding reforms 2024 and The scheme-specific funding regime. When considering scheme funding matters, trustees and employers should take into account the Pensions Regulator's approach to funding defined benefits (DB benefits). How would the Pension Regulator communicate its approach to DB scheme funding? The Pensions Regulator's approach in relation to DB scheme funding was set out mainly in the following documents: • a code of practice on funding defined

This guide is primarily aimed at trainees, newly qualified lawyers and other persons who are new to or unfamiliar with pensions law. With the exception of HMRC (and arguably the Pension Protection Fund (PPF)), probably the most important statutory body within the pension industry is the Pensions Regulator. The Pensions Regulator was created as a body corporate under section 1 of the Pensions Act 2004 (PeA 2004) and replaced an earlier pensions regulatory body known as the Occupational Pensions Regulatory Authority (OPRA) on 6 April 2005. Role of the Pensions Regulator The role of the Pensions Regulator is wider than that of the OPRA, and it is important to note that it does not relate solely to occupational pension schemes. The principal objectives of the Pensions Regulator include: • to protect the benefits under occupational pension schemes of, or in respect of, members of such schemes • to protect the benefits under personal pension schemes of, or in respect of, members of such schemes who are employees in respect of whom direct payment arrangements

What is the Determinations Panel? The Determinations Panel of the Pensions Regulator (the Panel) is a committee that is responsible for deciding whether the Pensions Regulator (the Regulator) should exercise certain of its more important regulatory functions. Where it does decide that a particular function should be exercised, it is also responsible for exercising it. Establishment and composition Section 9(1) of the Pensions Act 2004 (PeA 2004) requires the Regulator to establish and maintain the Panel. The Panel consists of a Chair and at least six other persons. The Chair is nominated by an ’appointments committee’ established by the chair of the Regulator and is then appointed by the Board of the Regulator. The other members of the Panel are then nominated by the Chair of the Panel and appointed by the Board of the Regulator. Members of the Panel need not be lawyers. They have legal, business and/or pensions knowledge. They cannot be members of the Regulator or its staff, or members of the Pension Protection Fund or its staff. The current