You should take your own legal advice to determine how the 2018 regulations affect your scheme. We have produced an updated guide to the chair’s statement requirements, which we recommend you read when preparing your next chair’s statement. Trustees and managers will need to have regard to guidance issued by DWP in order to comply with the new chair’s statement requirements, and in relation to publication of the relevant information on a website. The information mentioned above must be provided in hard copy where requested, if it is not possible for that person to get it from the website.Īnnual benefit statements must include details informing the member that the above information is available on a website, the location of the publication, how to access it and the circumstances this will be available in hard copy format. The explanation of your assessment of whether your scheme represents good value for members.The statement on the unavailable transaction costs and steps being taken to obtain that information in future.The level(s) of charges and transaction costs paid by members for each default arrangement and fund that members are able to select (in line with the amended, more detailed, requirements for the chair’s statement).If there was no review in that year, the date of the last review. The statement of investment principles for the default arrangement, a description of any review of the default arrangement in the last scheme year and any resulting changes.The following parts of your chair's statement will need to be made publicly available, free of charge, on a website: Your chair's statement now also needs to include an 'illustrative example' of the cumulative effect over time of the application of charges and transaction costs on the value of a member's accrued rights to money purchase benefits.Īrranging for scheme information to be disclosed or made available The 2018 regulations require you to provide more detail on the charges and transaction costs borne by members of your scheme than previously. Preparing your annual governance statement (chair's statement) You may wish to check the amendments made by the 2018 regulations when looking at the following areas of the code of practice. Where the code differs from what is set out in law, as amended by these regulations, you should ensure that you meet the new legal requirements. In the meantime, you should take particular note of the amendments made by the Occupational Pension Schemes (Administration and Disclosure) (Amendment) Regulations 2018. The changes will be encompassed in any wider review of this code in future. We do not intend to revise this code as a result of these changes in the law. On 6 April 2018, changes to pensions legislation came into force that are directly relevant to this code of practice.
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