imposing requirements or prohibitions on scheme managers;

imposing requirements or prohibitions on asset pool companies;

enabling or requiring the responsible authority to issue guidance to asset pool companies;

the scheme manager;

the asset pool company;

the scheme managers participating in the asset pool company;

any other person the responsible authority considers it appropriate to consult.

the asset pool company;

the scheme managers participating in the asset pool company;

the Financial Conduct Authority;

any other person the responsible authority considers it appropriate to consult.

require a scheme manager to participate in an asset pool company with a view to that company managing the funds and other assets of the scheme for which the scheme manager is responsible;

prohibit a scheme manager from participating in more than one asset pool company at the same time (subject to any transitional arrangements permitted by the regulations where a scheme manager participating in one company decides to participate instead in another company);

require the scheme managers for the time being participating in an asset pool company to take steps to secure the grant of FCA authorisation to the company for carrying out prescribed activities.

each scheme manager formulates, publishes and keeps under review an investment strategy,

in the case of a scheme for local government workers for England and Wales, each scheme manager (other than the Environment Agency) co-operates with an appropriate strategic authority to identify and develop appropriate investment opportunities.

sources of advice that a scheme manager must, or may, use in formulating its investment strategy, and

matters that must, or may, be covered by an investment strategy.

the scheme manager’s approach to responsible investment,

the scheme manager’s approach to local investments, and

strategic asset allocation or target ranges for growth and income.

any specified power or powers of a local authority under Part 6 of the Local Government Act 1972, or

any power or powers corresponding to one or more of the powers of a local authority under that Part.

“public service pension scheme” means a scheme for the payment of pensions and other benefits to or in respect of persons of a description set out in section 1(2) of PSPA 2013, and

“scheme manager” (in the third place it appears) means any person who is, for the purposes of PSPA 2013, a scheme manager for any such scheme.

the carrying out of periodic or ad hoc governance reviews of individual scheme managers,

the issuing by the responsible authority of guidance to persons carrying out governance reviews about the carrying out of such reviews, and

functions of the responsible authority in response to a report of such a review.

a governance review is a review of the governance of the scheme so far as administered by the scheme manager, and the performance and effectiveness of the scheme manager, over a period (“the period of review”);

requiring governance reviews to be carried out independently of the scheme manager being reviewed and the responsible authority, but under arrangements made by and at the expense of that scheme manager;

requiring the scheme manager to publish the report.

in subsection (1), after “2022” insert “and Chapter 1 of Part 1 of the Pension Schemes Act 2026”, and

in subsection (2), after paragraph (c) insert— (d)

consequential, supplementary, incidental or transitional provision in relation to any provision of Chapter 1 of Part 1 of the Pension Schemes Act 2026.

prohibiting the making of a payment unless an actuary of a prescribed description (“the relevant actuary”) is satisfied that prescribed conditions are met in relation to the value of the scheme’s assets and the amount of its liabilities,

making provision about the basis (or bases) on which the value of the scheme’s assets and the amount of its liabilities are to be determined for that purpose,

requiring the relevant actuary to give a certificate before a payment is made, and

requiring members of the scheme to be notified in relation to a payment before it is made.

about other conditions that must be met in order for the making of a payment to be permitted;

about the giving of certificates by the relevant actuary, including about the form and content of a certificate;

prohibiting the making of a payment without the employer’s consent;

prescribed descriptions of relevant pension schemes (“regulated VFM schemes”), and

prescribed descriptions of arrangements under relevant pension schemes (“regulated VFM arrangements”).

notify the Pensions Regulator of any publication they make under paragraph (a);

assign to the scheme or arrangement, and set out in the VFM assessment, a rating for that period (a “VFM rating”), and

notify the Pensions Regulator of the rating.

the method for calculating anything that is to be calculated under the regulations;

the time at or by which anything required to be done under the regulations must be done.

making value for money regulations;

issuing guidance under subsection (6).

trustees or managers of a regulated VFM scheme;

trustees or managers of a relevant pension scheme any arrangements under which are regulated VFM arrangements.

the quality of services provided to members of the scheme or (as the case may be) arrangement;

classes of assets invested in;

investment performance;

costs incurred by the scheme or (as the case may be) arrangement;

charges on members or employers in relation to the scheme or (as the case may be) arrangement.

specify time limits within which metric data in respect of a VFM period must be published or shared;

make provision about the form in which and the means by which metric data is to be published or shared;

require the published or shared information to deal separately with different cohorts of members of the scheme or (as the case may be) arrangement;

require a person appointed under the regulations to make available, for the publication or sharing of metric data, an electronic database (operated by that person);

determine the form in which metric data must be published or shared, and

publish, or share with the Secretary of State and responsible trustees or managers, details of the form so specified.

make provision about how the results of comparisons are to be taken into account in making determinations under section 15(1) (determinations for the purposes of assigning ratings);

specify factors that responsible trustees or managers must take into account when selecting comparator schemes or comparator arrangements.

factors relating to differences in the composition of the membership of different schemes or arrangements;

special features or characteristics of schemes or arrangements that are taken into account in their investment strategies.

a benchmark specified in value for money regulations;

if value for money regulations so provide, a benchmark approved and published by the Pensions Regulator.

provide that survey data reports (or survey data reports that meet prescribed conditions) relating to a VFM period are to be regarded as metric data for the purposes of this Chapter;

require the relevant authority to carry out consultation before issuing forms under paragraph (a);

if regulations are made under paragraph (c), make provision about who must be consulted.

a “fully delivering” rating if the responsible trustees or managers determine that the scheme or arrangement is delivering value for money;

in any other case, an intermediate rating.

Condition A is met if the responsible trustees or managers determine that there is no realistic prospect of the scheme or (as the case may be) arrangement delivering value for money within a reasonable period;

Condition B is met if the responsible trustees or managers have assigned an intermediate rating to the scheme or arrangement in each of a prescribed number of VFM periods immediately preceding the relevant period;

may name each of those ratings;

must specify the conditions for assigning each of those ratings.

sets out the responsible trustees’ or managers’ assessment as to whether or not transferring the benefits of the members (under the scheme or arrangement) to another scheme or arrangement could reasonably be expected to result in the generality of those members receiving improved long-term value for money, and

proposes measures (or options for measures) for improving the position (with regard to value for money) of members or subsets of members of the scheme or arrangement.

prepare a plan (an “improvement plan”) specifying actions that the responsible trustees or managers propose to take with a view to improving the scheme’s or (as the case may be) arrangement’s performance with regard to the provision of value for money;

provide a copy of the plan to the Pensions Regulator;

prepare an action plan and provide a copy of it to the Pensions Regulator;

ensure that no person becomes an employer in relation to the scheme or arrangement for as long as the scheme or (as the case may be) arrangement continues to have an intermediate rating;

take any other steps that may be prescribed.

make further provision about what may or must be included in an improvement plan;

confer additional functions on the Pensions Regulator in connection with schemes that are assigned an intermediate rating.

prepare an action plan and provide a copy of it to the Pensions Regulator;

ensure that with effect from the publication of the VFM assessment in which the rating is set out no person is to become an employer in relation to the scheme or (as the case may be) arrangement;

take any other steps that may be prescribed.

specify conditions that must be met by a scheme or arrangement selected under paragraph (a).

any prescribed conditions are met.

about the process for transferring accrued rights and benefits under subsection (2) (which may for example include provision for restricting or prohibiting administrative costs and as to time limits);

conferring on the Pensions Regulator power to direct the trustees or managers of the affected scheme to do things permitted or required by the regulations;

conferring a discretion on the Pensions Regulator;

about the winding up of a relevant scheme in circumstances where the accrued rights and benefits the members are, or are to be, transferred out of the scheme.

provide for the Pensions Regulator to issue a notice (a “compliance notice”) to a person with a view to ensuring the person's compliance with a value for money provision;

provide for the Pensions Regulator to issue a notice (a “third party compliance notice”) to a person with a view to ensuring another person's compliance with a value for money provision;

provide for the making of a reference to the First-tier Tribunal or Upper Tribunal in respect of the issue of a penalty notice or the amount of a penalty;

confer other functions on the Pensions Regulator.

£10,000, in the case of an individual, and

£100,000, in any other case.

the Regulator considers it appropriate to do so having regard to the circumstances in which the contravention took place, and

any prescribed conditions are met.

that if the Regulator determines that a rating assigned by responsible trustees or managers for the purposes of section 11(4)(a) is not correct, the Regulator may by a notice (a “directions notice”) substitute for that rating the rating the Regulator considers should have been assigned;

that, where the Pensions Regulator substitutes a rating by virtue of paragraph (a), that rating is to be deemed for all purposes to be the rating assigned to the scheme under section 15(1).

in subsection (3), after paragraph (a) insert— (aa)

where subsection (3A) or (3B) applies, to secure that the trustees as a whole have the skills and knowledge necessary for ensuring that the scheme, or an arrangement under it, improves its performance as regards the provision of value for money;

an arrangement under the trust scheme is a regulated VFM arrangement, and

the most recent rating assigned to the arrangement under section 15(1) of that Act was an intermediate or “not delivering” rating.

that relates to persons to whom the rules made by the Financial Conduct Authority apply, and

that corresponds to metric data,

designed to meet the needs of persons with a protected characteristic within the meaning of the Equality Act 2010, or

hybrid schemes.

permit the Regulatory Authority to determine that a relevant Master Trust is to be treated for a period (“the protected period”) as meeting Condition 1 or Condition 2 of subsection (1A) for a period specified by the Regulatory Authority;

specify circumstances in which a relevant Master Trust, which is treated as mentioned in paragraph (a) and meets prescribed conditions, is to be subject during a prescribed period (ending with the end of the protected period) to any requirements specified in the regulations; and provision under this paragraph may include provision corresponding to any provision that may be made under section 28A(10);

make provision about the Regulatory Authority requiring the trustees or managers of a relevant Master Trust to give the Regulatory Authority a plan showing how they propose to meet or continue to meet the scale requirement under section 28A or the conditions for approval under section 28C.

omit the “and” before paragraph (e);

after paragraph (e) insert— (f)

that it has sufficient investment capability (see section 12A), and

(in the case of an applicant that has its main administration in the United Kingdom) that the scheme meets Condition 1 of section 20(1A) (scale requirement) of the Pensions Act 2008.

prohibiting the provider of a pension scheme from beginning to operate a non-scale default arrangement unless the arrangement is approved by the appropriate regulator;

about the criteria which the appropriate regulator must apply in deciding whether to approve a non-scale default arrangement;

about the conditions which the appropriate regulator may or must attach to approval;

about the ongoing requirements to which the provider of a pension scheme is to be subject in relation to a non-scale default arrangement approved under the regulations;

where assets of a pension scheme are held subject to a non-scale default arrangement that is being operated in breach of the regulations, requiring the provider of the pension scheme in question to ensure that the assets are held subject to a different arrangement of a description specified in the regulations;

conferring functions on the appropriate regulator, including functions involving the exercise of a discretion;

for ensuring compliance with the regulations, including provision for the imposition of civil penalties not exceeding £100,000;

for the making of a reference to the First-tier Tribunal or Upper Tribunal in respect of anything done under the regulations.

the number of non-scale default arrangements being operated by providers;

the extent to which non-scale default arrangements operated by providers have been consolidated, or are likely to be consolidated, into approved main scale default arrangements;

where non-scale default arrangements have not been so consolidated, the reasons why;

the circumstances in which it may be appropriate for non-scale default arrangements not to be so consolidated.

requiring the provider of a pension scheme, subject to any exemptions specified in the regulations, to consolidate a non-scale default arrangement operated by it into an approved main scale default arrangement operated by it;

requiring the provider of a pension scheme to prepare, and provide the appropriate regulator with, an action plan about how and when a non-scale default arrangement operated by it is to be so consolidated;

conferring functions on the appropriate regulator, including functions involving the exercise of a discretion;

for ensuring compliance with the regulations, including provision for the imposition of civil penalties not exceeding £100,000;

for the making of a reference to the First-tier Tribunal or Upper Tribunal in respect of a decision made under the regulations.

may not be made until the review under section 43 has been completed and the report on it published, and

must take account of the review’s conclusions.

in subsection (2), before paragraph (b) insert— (ad)

by or under Chapter 4 of Part 2 of the Pension Schemes Act 2026 (default arrangements),

in subsection (6), before paragraph (b) insert— (ad)

by or under Chapter 4 of Part 2 of the Pension Schemes Act 2026 (default arrangements);

is carried on in such a way as to be a regulated activity for the purposes of the Financial Services and Markets Act 2000, and

is carried on in the United Kingdom by a person who is in relation to that activity an authorised person under section 19 of that Act.

design, and make available to each eligible member of the scheme, one or more default pension benefit solutions;

at least in such circumstances or at such times or intervals as may be prescribed, review the design (and if appropriate the number) of the default pension benefit solutions.

is designed to provide a regular income for the eligible members concerned in their retirement (whether or not together with other benefits),

meets any other conditions that may be prescribed.

the circumstances of different eligible members of the scheme (for example the normal pension ages of such members or the value or expected value of their money purchase benefits under the scheme);

the possibility that a member may already have received some of their benefits (for example as a lump sum) before deciding to make use a default pension benefit solution;

such other factors as may be prescribed.

specify descriptions of eligible members in relation to which subsection (3) is to have effect with the omission of paragraph (b) of that subsection;

are subject to the negative procedure if they are made under subsection (1)(b) or (6)(a)

otherwise, are subject to the affirmative procedure.

at such times or in such circumstances as may be prescribed, enter into arrangements (“transfer arrangements”) with the receiving scheme with a view to effecting a relevant transfer to that scheme;

take any other prescribed steps.

is designed to provide a regular income for the members concerned in their retirement (whether or not together with other benefits), and

meets any other conditions that may be prescribed.

an occupational pension scheme, or

a personal pension scheme,

the trustees or managers of the principal scheme must communicate that proposal to the receiving scheme, and

the proposal is to be treated as requiring the receiving scheme to enrol the transferable member as a member of the receiving scheme and use the cash equivalent to provide rights for the member under that scheme.

the principal scheme has been unable, having used reasonable endeavours, to identify a qualifying scheme that is able and willing to do so, and

any other prescribed conditions are met.

a Master Trust scheme within the meaning of the Pension Schemes Act 2017;

a consolidator scheme within the meaning of Chapter 2 of Part 2 (consolidation of small dormant pension pots).

describes the pension benefit solution, and

sets out the trustees’ or managers’ opinion as to what might be the circumstances (in terms of age, pension savings etc) of a person for whom the pension benefit solution is suitable.

describes the default pension benefit solution or qualifying pension benefit solution that the trustees or managers consider to be the most appropriate to the member (“the specified solution”), and

sets out the trustees’ or managers’ opinion as to what might be the circumstances (in terms of age, pension savings etc) of a person for whom the specified solution is suitable.

general information about the availability to the member of a default pension benefit solution or qualifying pension benefit solution and an explanation that such a solution is designed to provide a regular income during retirement.

information about the pension benefit solutions available to the eligible members;

general information about other options that may be available to the member for receiving benefits in respect of their contributions;

information describing a particular pension benefit solution that the trustees or managers consider to be suitable for the eligible member in question;

where information within paragraph (c) is included in a communication, the trustees’ or managers’ opinion as to what might be the circumstances (in terms of age, pension savings etc) of a person for whom the pension benefit solution is suitable;

any general information prescribed for the purpose of assisting eligible members in deciding how to receive their pension benefits.

designing or reviewing, or in the case of transferable members identifying, pension benefit solutions;

determining what pension benefit solution may be appropriate for the member, including what rate of decumulation may be appropriate;

the selection of a pension benefit solution, or

decisions that may need to be made with respect to a pension benefit solution.

monitor the rate of decumulation under pension benefit solutions used by members, and

inform the member concerned if the trustees or managers consider that the rate of decumulation should be reviewed.

identify and carry out the steps they need to take for the purpose of understanding the requirements of eligible members of the scheme with regard to pension benefit solutions;

design, or in the case of transferable members identify, pension benefit solutions that take account of those needs;

communicate effectively with eligible members of the scheme with regard to pension benefit solutions and comply with any regulations under section 52.

the Pensions Regulator;

any member of the scheme.

specify any objectives, principles or matters the trustees or managers must take into account in determining or revising a strategy;

make provision about the level of detail required in a pensions benefit strategy;

make provision as to the period within which a pension benefits strategy must be determined;

specify the intervals at which the strategy must be reviewed;

are subject to the affirmative procedure if they are under subsection (3)(a);

otherwise are subject to the negative procedure.

provide for the Pensions Regulator to issue a notice (a “compliance notice”) to a person with a view to ensuring the person's compliance with a provision of or under this Chapter;

provide for the Pensions Regulator to issue a notice (a “third party compliance notice”) to a person with a view to ensuring another person's compliance with a provision of or under this Chapter;

provide for the making of a reference to the First-tier Tribunal or Upper Tribunal in respect of the issue of a penalty notice or the amount of a penalty;

confer other functions on the Regulator.

£10,000, in the case of an individual, and

£100,000, in any other case.

contains a regulatory framework for superfunds, and

prohibits superfund transfers except where made in accordance with that framework.

that has received a transfer of defined-benefit liabilities from another trust-based occupational pension scheme,

that is supported by a capital buffer, and

that is not supported by a substantive employer covenant,

must be held by a person in connection with the scheme, and

must, in specified circumstances, be made available to the trustees for the purpose of satisfying liabilities of the scheme.

any capital buffer, and

any financial support which it may obtain from another person but to which it is not entitled.

any capital buffer, and

any arrangements in place for the management and administration of the scheme or any capital buffer.

each section is treated as a separate scheme,

the members of the scheme that are allocated to each section are treated as the members of that separate scheme,

the assets and liabilities of the scheme that are allocated to each section are treated as the assets and liabilities of that separate scheme, and

in the case of a superfund scheme, the assets of the capital buffer that are allocated to each section are treated as the capital buffer in relation to that separate scheme.

the reallocation of members between sections;

the combination of two or more sections;

the division of one section into two or more.

which have effect under the rules of the scheme (including, in the case of a superfund scheme, the capital buffer arrangement), and

under which particular assets of the scheme (and, in the case of a superfund scheme, the capital buffer) may only be used to satisfy the scheme’s liabilities to or in respect of members of the scheme of a particular description,

promote the scheme (generally or to a particular person) with a view to its receiving a superfund transfer,

enter into any arrangements on behalf of the scheme with a view to its receiving a superfund transfer, or

cause or permit such promotion to take place or such arrangements to be entered into.

in relation to promotion of a scheme, that it is clear from the promotion that the scheme is not part of an authorised superfund;

in relation to arrangements entered into, that it is clear to every party to the arrangements, as at the time when the arrangements are entered into, that the scheme is not part of an authorised superfund.

on summary conviction in England and Wales, to a fine;

on summary conviction in Scotland, to a fine not exceeding the statutory maximum;

on conviction on indictment, to imprisonment for a term not exceeding two years or a fine or both.

the trustees of the superfund scheme, and

a body corporate that is incorporated in the United Kingdom and that is involved in the scheme’s management or administration.

about the documents and information that an application must include;

requiring a fee to be paid to the Regulator in respect of an application.

on summary conviction in England and Wales, to a fine;

on summary conviction in Scotland, to a fine not exceeding the statutory maximum;

on conviction on indictment, to imprisonment for a term not exceeding 2 years or a fine or both.

the receiving superfund is authorised,

the ceding scheme does not have any active members, and

the Regulator is satisfied, based on evidence provided by the trustees of the ceding scheme and by the responsible body of the receiving superfund, that each of the onboarding conditions is met in relation to the transfer.

that, as at the date of the application, the financial position of the ceding scheme is not strong enough to enable the trustees to arrange an insurer buyout;

that the superfund transfer will make it more likely that the transferred liabilities will be satisfied in full;

that it is reasonable to expect that the capital adequacy threshold will be met in relation to the receiving superfund immediately following the superfund transfer;

that it is reasonable to expect that the technical provisions threshold will be met in relation to the receiving superfund at the end of the period specified in regulations made by the Secretary of State;

that the receiving superfund is likely to comply with the requirements of Chapters 4 and 5 (ongoing requirements of superfunds) after the superfund transfer takes place.

the superfund transfer being made on terms of a specified description;