The Pension Regulator is to issue 8,000 occupational schemes with a scheme return form, under the Pensions Act 2004, which requires that all schemes regularly provide the regulator with information to identify schemes potentially at risk. The form will ask for basic information such as the scheme type and status, membership, details about trustees and their advisers, financial information and details about employees participating in the scheme.
Trustees will have around eight weeks to complete and return the form. Firms who run defined benefit schemes with five or more members will be targeted first, and will receive their returns by the end of the month. A second set of returns will be issued later in 2005, for defined benefit schemes with between two and four members.
Our view
It is a good thing that Company Pensions are now to be actively monitored to check that there are enough funds there. This can only protect investors.