On the go: The Pensions Regulator has relaxed its enforcement rules and reporting guidelines for trustees amid the coronavirus crisis.
In an update published on Thursday, the watchdog stated that it had reviewed its reporting requirements to ease the burden for employers, trustees, pension advisers and providers so the “focus can be placed on essential activities that need to be done to keep schemes running during the Covid-19 pandemic”.
So, if the breach will be rectified within a short timeframe – not more than three months – and it does not have a negative impact on savers, trustees will not have to report it but are advised to keep records of any decisions made and actions taken.
The regulator will also adopt a more flexible and pragmatic approach to what must be reported due to the coronavirus situation, including when to take enforcement action.
“In making decisions about whether to take regulatory action in respect of breaches of administrative and compliance requirements, we will do so on a case-by-case basis and adopt a flexible approach,” such as granting longer periods to comply and taking Covid-19 into account.
Nicola Parish, TPR’s executive director of frontline regulation, said: “The pressures caused by Covid-19 have been felt throughout the pensions industry. That’s why we have taken steps to do what we can to reduce the regulatory burden on trustees, employers and providers at this unprecedented time.
“We will take a reasonable, pragmatic and proportionate approach to our regulatory work during Covid-19. However, there are a number of areas, particularly those regulations designed to directly protect savers’ interests, where we are not easing our requirements.”
The guidance also provides a non-exhaustive list of areas where these principles will not apply, TPR stated.
