The Pensions Regulator
(TPR) was created to replace the Occupational Pensions Regulatory
Authority (Opra) from 6 April 2005. The role of TPR is to regulate
work-based pension schemes with key objectives of protecting the
interests of scheme members, the promotion of good administration
and reducing the risk of claims on the Pension Protection Fund
(PPF).
In order to meet its objectives, TPR has a number of powers
which broadly fall into three categories, investigative powers; the
power to put things right; and the power to prevent to employers
avoiding their pension obligations.
Investigative powers
Amongst TPR's powers is the ability to obtain information it
decides will help them best support a pension scheme. This ranges
from requiring a pension scheme to complete a return requesting
certain information to the ability to issue a notice requiring
reports on a scheme to be provided. If necessary, TPR can obtain a
warrant from a justice of the peace to enter premises and seize
documents that are relevant to their work.
The power to put things right
Depending on the circumstances of the problem, TPR can take
certain action to correct matters. These powers include:
- Issuing improvement notices to individuals or companies, or a
third party notice, requiring specific action to be taken within a
certain time.
- The power to recover unpaid contributions.
- The issue of a 'freezing order', to prevent a scheme from
winding up. This could be done for example where the Regulator
considers it to be in the interests of members.
- The ability to disqualify trustees they do not consider to be
fit and proper persons for the role and the ability to appoint
trustees to a pension scheme.
- The ability to impose fines.
- The ability to prosecute certain offences in the criminal
courts.
Acting against avoidance
If TPR believed an employer was deliberately attempting to avoid
their pension obligations, and consequently increasing the risk of
a claim on the PPF they may issue any of the following:
- A 'contribution notices' which can direct a person to pay a
specified sum to the trustees or manager of a pension scheme.
- A 'financial support direction', which requires a person or
persons to put in place financial support for a pension
scheme.
- A 'restoration order' if the Regulator believes a transaction
has taken place at an 'undervalue'. If that were the case the order
would have the effect of restoring the position that would have
applied if the transaction had never happened.
- To help pension schemes comply with the law, TPR has produced
guidance and Codes of Practice, giving practical information on
compliance and conduct.
Contact TPR
The Pensions Regulator
Napier House
Trafalgar Place
Brighton
BN1 4DW
Telephone: 0870
6063636
Email:
customersupport@thepensionsregulator.gov.uk
Website: www.thepensionsregulator.gov.uk
Publications
The following publications are available from the Pensions
Regulator.
- An introduction to the Pensions Regulator
- The legislation is changing: what trustees need to do
- The legislation is changing: what employers need to do
- Changes in regulation of pension schemes
- Freedom of information
- Your retirement choices
- Clearance statements
- Making your retirement choices: think before you choose
