Workplace pension reform - firing the starting pistol

The Department for Work and Pensions yesterday announced a batch of regulations that make up some of the final pieces in the jigsaw of workplace pension reform.

Solvency II - what does it mean for UK pension schemes?

Solvency II is a European initiative that toughens the capital requirements for insurance companies in a bid to make them more secure and better able to withstand market 'shocks'.

Public sector pensions lead to public and private sectors strikes – can you stop it?

When is a money purchase benefit not a money purchase benefit?

The Court of Appeal ruling in the Bridge v Yates case has been upheld by the Supreme Court. The Supreme Court came to a decision by assessing the definition of money purchase benefits.

Reduced allowances - refinements

On 9 December 2010 the Government published a consultation on its draft Finance Bill 2011.

Who's in the driving seat?

Is defined benefit pension provision hurtling towards more responsible affordability? Who's in the driving seat? Wragge & Co's pensions experts examine the issues.

Compromising pensions disputes

The Court of Appeal judgment in International Management Group (UK) Limited and (1) Peter German and (2) HR Trustees Limited [2010] EWCA Civ 1349 was handed down yesterday (1 December 2010). Wragge & Co's pensions experts consider the judgment in more detail.

Restricting pensions tax relief - the new regime from 6 April 2011

The wait is over. We knew that tax privileged pension saving was going to change and now we know the key features of the reforms.

Global enterprise signals global financial support direction

We've only just witnessed the Pensions Regulator's first contribution notice. Now we're looking at its second financial support direction (FSD) exercise (the last time it issued any FSDs was in 2008 in respect of two Sea Containers pension schemes).

The bark becomes a bite: first contribution notice issued

The Pensions Regulator has issued its first contribution notice (CN).

The Coalition Government's first Budget - high earners and pensions: an update

Mr Osborne delivered his first budget amid much speculation as to precisely what he would do with regard to various issues in the pensions arena, particularly the restriction of tax relief on pension contributions for "high earners".

High earners and pensions

High earners need to consider carefully their pension arrangements. This is because Mr Darling, when he was Chancellor of the Exchequer under the last administration, paved the way for the introduction of a new charge on pension contributions.

Workplace pension reform: the devil in the detail

From 2012 all employers will have to enrol all eligible workers into a pension scheme. For the first time employer contributions will be mandatory.

Contrasting approaches

The general election produced a hung Parliament, with the prospect of politicians having to work together despite contrasting policies.

Successful challenge - Public and Commercial Services Union (PCS) obtains judgment that changes to the Civil Service Compensation Scheme (CSCS) are unlawful

The PCS (a trade union representing large numbers of civil servants) has successfully challenged the legality of certain changes made to the CSCS. The changes to the CSCS will now be set aside and sent back to the decision makers to be remade in light of the court's findings.

Agency workers and pensions: there's no escaping 2012 Workplace Pension Reform!

The Agency Workers Regulations 2010 (the Regulations) are due to come into force in October 2011. This is the Government's way of achieving "flexisecurity" for agency workers.

Civil Service Compensation Scheme - changes introduced on 1 April 2010

The Civil Service Compensation Scheme (CSCS) is a statutory scheme that provides compensation to certain civil servants who leave office through compulsory or voluntary redundancy.

Debt on employer evolves again

Following last Autumn's consultation on draft regulations which would prevent a Pensions Act 1995 section 75 debt being triggered in two new sets of circumstances, final regulations have been laid and are due to come into effect on 6 April.

Defined Contribution - focus on investment governance

Although nine years have passed since the Myners' Principles were first introduced, concerns remain about investment governance in pensions.

Feathering the NEST egg - the final shape of workplace pension reform

Costly changes are coming which will affect employers and pension schemes.

Admitted Body Status - where are we now?

Shortly before the Christmas break, the Department for Communities and Local Government (CLG) issued updated guidance relating to the operation of the Admitted Body Status (ABS) framework within the Local Government Pension Scheme (LGPS).

The LGPS Investment Regulations - out with the old, in with the new

The new LGPS Investment Regulations came into force on 1 January 2010. The Regulations replace a whole raft of existing statutory instruments dating back to 1998 and also introduce several new requirements which warrant attention.

DB or not DB?

Many schemes will have had to consider issues such as amending scheme rules to manage final salary pension scheme liabilities and getting member consent to alter benefits, each of which was considered by the court in the IMG case.

Spotlight on DC governance - the latest state of play

The Pensions Regulator has been paying increasing levels of attention to how defined contribution schemes are governed. This, together with the trend for employers to provide DC vehicles for future service, means that the spotlight is now on DC governance.

Spotlight on DC governance - challenges ahead

The Pensions Regulator has been paying increased levels of attention to how DC schemes are governed. This, together with the trend for employers to provide DC vehicles for future service, means that the spotlight is now, firmly, on DC governance.

Employment Law 2009 review/2010 preview: Part 1

As in other aspects of life, the two great issues facing the world today, the credit crunch and climate change, are having a significant impact on employment law in 2009. Here, gentle reader, we pick out some of the need-to-know highlights.

Time to act!

The minimum age at which members may take their benefits is to increase from 50 to 55. Introduced by the Finance Act 2004, the changes will take effect on 6 April 2010.

Local Government update

Life never stands still in local government. Read the team's comments on issues, from the ramifications of London Authorities Mutual Limited (LAML) to the new remedies directive, and take note of any action points that will help you and your organisation.

Can trustees have an eye to the lifeboat?

In the Ilford case, the court was asked to determine whether, as a matter of principle, trustees could have regard to the availability of compensation under the Pension Protection Fund (PPF) when making their decisions.

A far-from-lazy summer

Hopes for a laid-back summer appear to have had no place in the pensions landscape.

Personal accounts and auto-enrolment - what does this mean for you? (Pensions)

Pension scheme trustees and managers need to be ready for big changes in workplace pension provision, due to arrive in 2012, as reforms a decade in gestation finally come to fruition.

Heyday challenge fails: UK default retirement age is legal .... for now

The High Court decided last Friday that it is lawful for employers to compulsorily retire employees at age 65. However, this may be a pyrrhic victory for the Government.

Unfair dismissal - pensions benefits are not unique says the Court of Appeal

A former employee immediately obtained a new job after being unfairly dismissed. As expected, the Tribunal did not award compensation for future loss of earnings. Unexpectedly, the EAT did agree that ongoing pension loss could nonetheless be considered.

Changes to pensions schemes: potential pitfalls for high earners

Where a company is looking at making a material change to the way in which benefits under its pension scheme are provided after 22 April 2009 or proposing to introduce a new arrangement there could be adverse tax consequences for high earning individuals.

Personal accounts - a pensions revolution

Employee pension enrolment and employer contributions are to be made compulsory as part of the Government's attempt to tackle the UK's looming demographic crisis.

The importance of being earnest (about keeping pension scheme records accurate and up-to-date)!

If ever you needed a reason to check the accuracy of your records, a case determined last month highlights why you should flick a duster around the back of the filing cabinet every now and then!

"Minimum interference": some relief at last for employers on the equalisation front?

Last week the Court of Appeal handed down its eagerly awaited decision in the Foster Wheeler case.

Deflation, revaluation and pension increases - can pensions be reduced?

For the first time in decades, the UK has had short periods where the retail prices index has been negative, causing deflation. Naturally, there is concern about whether this is a short-lived issue or the start of a sustained period of deflation.

A fresh look

Spring is a good time to clear out the clutter and take a fresh look at things. Pension schemes often benefit from a spring clean too, so Wragge & Co's Pensions team take a look at recent developments to identify those issues that could use a fresh look.

Budget 2009 - restricting tax relief for pension contributions - watch out just who it will catch

The Government has introduced a new measure to restrict tax relief for pension savers earning over £150,000 per year to the basic rate of tax of 20%. This has generated much publicity but just who could this affect?

Greater flexibility for trivial commutation and payments made in error

The long-awaited regulations dealing with trivial commutation and payments made in error have now come into force.

Material detriment stays materially the same

The Regulator has now published its response to the consultation paper regarding proposed changes to the moral hazard laws and anticipates the code of practice coming into effect this summer.

Long tail for Ombudsman complaints?

The Pensions Ombudsman and his Deputy have recently come to different conclusions on whether they will deal with complaints made after the usual limitation periods applied by the courts have expired.

More change on the way

Two new sets of regulations have been laid, making a mixed bag of amendments to pensions legislation. In the main, the changes are likely to be welcomed, although some opportunities have been missed, for example in relation to scheme investments.

Don't lose your enhanced and primary protection - register by 5th April 2009

You may remember that we highlighted in our January alert 'a new year, some new deadlines' the deadline of 6 April 2009 for members who want to take advantage of the enhanced and primary protection regime.

How liable is a trustee?

The current unsettled times are prompting pension scheme trustees to review their own personal liability position. Good scheme governance reduces the risk of claims, but even the very best governed schemes may experience a claim from a member.

The Pensions Regulator's latest statement on scheme funding: revolution or evolution?

The Pensions Regulator has issued a follow-up statement to the one it issued last autumn on scheme funding in the current economic climate. The statement as reported in the press appeared to give grounds for serious concerns.

Acting, noting and watching

Pension schemes sit in the wider economic context so it's understandable that much attention is being placed on how they should respond to the current financial turmoil.

Reclaiming tax from the Netherlands

UK pension funds which received dividends from Dutch companies on or before 31 December 2006 can now reclaim tax that was withheld on those dividends by the Netherlands tax authorities - claims will be possible for tax withheld as far back as 2003.

A new year, some new deadlines

We thought we'd take a look at some pensions deadlines coming up soon.

Ill-health pensions

The new LGPS has now been in place for a little over six months. One of the most debated aspects of the new LGPS has been the operation of the three tier ill-health pension benefit.

Local government update: are we becoming protectionist?

Wragge & Co's public sector experts consider an end to pay protection, protecting construction projects from the credit crunch and protecting personal data.

Revaluation cap reduction delayed to 6 April 2009

The Department of Work and Pensions has just announced that the planned drop in the revaluation cap will now be available for rights earned from 6 April 2009 rather than from 1 January 2009, as originally envisaged.

Beware the implications of your early retirement rule

The consequences of the Barber decision continue to challenge scheme sponsors and trustees. Did A-day and the flexibility to pay split pensions offer schemes a means of reducing the size of the Barber liabilities?

Moral hazard changes on the horizon

The Government has made no secret of its concerns about some innovations in the pensions market and, in particular, alternatives to pensions buy-outs.

Local Government Pension Scheme (LGPS) Governance Compliance Statements - deadline of 1 November 2008 looms

By 1 November 2008, those administering authorities who have not already done so must prepare and publish their governance compliance statement.

Staff transfers from the Local Government Pension Scheme (LGPS) - results of the Admitted Body Status consultation

The Department for Communities and Local Government (DCLG) has now published the results of the consultation commissioned in January 2008 regarding the Admitted Body Status (ABS) provisions in the Local Government Pension Scheme (LGPS).

Staff transfers from the Local Government Pension Scheme (LGPS) - new Government Actuary Department (GAD) note for Broadly Comparable Schemes

GAD have issued a note, dated 6 October 2008, clarifying the definition of minimum pension age in the LGPS.

Pensions Regulator consults on updated draft TKU code and guidance

The Pensions Regulator has issued for consultation updated draft versions of its code of practice and scope guidance on trustee knowledge and understanding (TKU).

Pensions Regulator announces conflicts of interest guidance

The Pensions Regulator has finalised its conflicts of interest guidance for schemes other than contract-based arrangements.

Local Government Pension Scheme - Ill-health pensions

On 1 October 2008 the new Local Government Pension Scheme (LGPS) will have been in place for six months. One of the most debated aspects of the new LGPS has been the operation of the three-tier ill-health pension benefit.

Redundancy, discrimination and industrial meltdown

It's tough out there. Redundancies are at the forefront of many employers' minds. Unfortunately tribunal decisions reveal that redundancy policies might well break age discrimination laws.

Back to school - an update on the latest pensions developments

The last few months have seen a number of developments in the pensions arena, so we have decided to outline some of the key changes in one document for your return from the summer break: Back to school!

Moving on out: transfer laws due to change

The way cash equivalent transfer values (CETVs) are calculated is about to change.

New money laundering registration guidance: HMRC clarifies position for trustees of occupational pension schemes

On 31 July 2008 Her Majesty's Revenue & Customs published updated guidance on the registration requirements for Trust or Company Service Providers (TCSPs) and Accountancy Service Providers (ASPs) under the new Money Laundering Regulations.

Maternity leave and pension contributions

Rules covering non-cash benefits will change this year for pregnant employees with a childbirth expectance week of 5 October 2008 or later.

Transfer values: new regulations published

The Occupational Pension Schemes (Transfer Values) (Amendment) Regulations 2008 were published on 11 April 2008, and are due to come into force on 1 October 2008. Wragge & Co's legal experts analyse what this could mean for you and your organisation.

Proposed increase in the pension regulator's anti-avoidance powers

On 14 April 2008, the Government announced plans to give increased anti-avoidance powers to the Pensions Regulator. Read Wragge & Co's analysis of the Government proposals.

Regulator and clearance: the finalised guidance

In September 2007 the Regulator published draft revised clearance guidance. Following consultation, the Regulator has now finalised this guidance. Read Wragge & Co's expert advice on what this could mean for you.

Money laundering and paid pension scheme trustees: deadline of 1 April changed

Money laundering regulations require some paid pension scheme trustees to register with HM Revenue and Customs. Read Wragge & Co's expert assessment of what this could mean for your organisation.

All Change! The new-look LGPS

Despite Communities and Local Government's promises to have regulations a year in advance, the final form administration, benefit and transitional regulations were very late in coming.

Employers ceasing to participate in an underfunded multi-employer DB scheme: new employer debt requirements

On 6 April 2008 new regulations published by the Department for Work and Pensions on employer debt come into force. Wragge & Co's expert analysis explains all.

Pensions Regulator issues guidance on conflict of interests

The Pensions Regulator has published draft guidance on conflicts of interest.

LGPS: governance compliance statements - deadline changed to 1 June 2008

Paid pension scheme trustees: the new money laundering requirements

Pension Protection Fund (PPF) voluntary certificates: the deadlines approach!

LGPS: more consultation on admitted body status

LGPS: new ill-health pension benefits

Another Pensions Bill

Pensions legislation has been a constant state of change for the last few years. The recent introduction of the second Pensions Bill in 2007 into the House of Commons continues this trend.