The Pensions Regulator (TPR) has published an interim response to its first defined benefit (DB) funding code consultation.
Its consultation aims to identify what the revised DB funding code may look like under the new developing legislation and asked for views on several proposals, including TPR’s proposed regulatory approach and the principles that should underpin all valuations in the revised framework.
Of the 127 responses to the consultation, from a variety of stakeholders, there was general support for the principles and regulatory approach proposed in the consultation.
Some concerns were raised over how the principles would be applied in practice through the proposed twin-track regime, named ‘Fast Track and Bespoke’.
David Fairs, executive director of Policy at TPR, said: “Our first consultation was complex, and we are grateful for the well thought-out responses.
“We are now working through the issues raised from more than 6,000 comments received. We will be developing our Fast Track guidelines while taking into account the very challenging current economic conditions, and we will carefully assess any potential impacts.”
He added: “Our revised code of practice has to be consistent with new legislation, so we will have to wait for the passage of the Pension Schemes Bill through Parliament and DWP’s consultation on draft regulations, currently expected to be in the first part of this year.
“We therefore anticipate publishing our second consultation in the second half of 2021.”