The Work and Pensions Committee is launching an inquiry into the proposals laid out in its recent ‘protecting defined benefit schemes’ paper, published in March.
In the March paper, the committee recommended strengthening The Pension Regulator’s (TPR) main anti-avoidance powers, and that it would be made a criminal offence “to have committed wilful or grossly reckless behaviour in relation to a pension scheme”.
Under the proposals, TPR will also be granted enhanced investigative and information-gathering powers.
The Department for Work and Pension said constraints on parliamentary time will push any legislation necessary to bring the white paper’s proposals back to “the 2019/20 parliamentary session at the earliest”.
The committee is interested in learning about the following:
– To what extent is improving TPR’s effectiveness a matter of greater powers, better use of resources or cultural change in the organisation?
– What can be done to strengthen the regime for clearing corporate transactions (like dividend payouts, selloffs, takeovers) that might weaken a pension scheme?
– Will a criminal offence provide a meaningful deterrent?
– What should “prudent” and “appropriate” scheme funding mean?
– How can consolidation of the fragmented DB landscape be best achieved?
– Given the difficulties facing DB schemes, is a faster legislative timetable warranted?
Evidence must be submitted by Friday 18 May.
The post MPs launch inquiry into future DB legislation proposals appeared first on Retirement Planner.