-Ian McCartney, Pension Minister announced that New Winding Up regulations for Occupational Pension Schemes will come into force from 1 April.
Mr McCartney said:
'The new legislation places greater visible accountability on those people who are involved in winding up a pension scheme. This will help to ensure that the benefits that members are entitled to are secured more quickly. Speeding up the winding up of occupational pension schemes will also reduce costs and make the whole process more efficient.
'The phased approach to these new requirements will ensure that the schemes that have been winding up for the longest time are required to report to OPRA first. It will also give the trustees of schemes that have recently begun to wind up time to fully understand their responsibilities under the new regulations.'
The provisions will:
Require trustees to make regular progress reports to the Occupational Pensions Regulatory Authority (OPRA). This is being phased in over four years with the oldest schemes having to report by 1 June 2002.Enable OPRA to direct that action is taken by those responsible if it considers that the winding up is being unreasonably delayed.Require other people involved in running the scheme to tell OPRA if there are no trustees so that consideration can be given to appointing a trustee.Allow trustees to apply to OPRA for an order to modify the scheme so that it can be wound up properly.Notes for Editors
1. Sections 47 to 50 of the Child Support, Pensions and Social Security Act 2000 and new winding up regulations are due to come into force from 1 April 2002.
2. The Occupational Pension Schemes (Winding Up Notices and Reports etc) Regulations 2002 sets out the detail of the new requirements.
3. Copies of the Act and Regulations are available from: The Stationary Office, PO Box 29, Norwich, NR3 1GN. General Enquiries 0270 600 5522
© Department for Work and Pensions
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