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Invitation: Join discussion on DB pensions consultation

Join CFG and LCP in March to get under the skin of The Pensions Regulator's consultation on the funding code for defined benefit pensions.

CFG members and non-member charities are invited to take part in an online discussion about The Pensions Regulator's (TPR) recent consultation on the funding code for defined benefit (DB) pensions.

The discussion will be hosted by CFG in partnership with LCP on a day in March yet to be determined. If you would like to join the meeting, please complete the following Doodle poll.

Richard Sagar, Head of Policy, CFG, comments:

"We would like to invite charities to join us in a lively and informative discussion on what the newly proposed code will mean for your organisation. Along with our partners LCP, we have identified a number of potential concerns in the new code for the sector.

"These concerns include paying off deficits within a timeframe which is ‘reasonably affordable’ and what that means in a charity context, the risk of reduced flexibility compared to the current regime and how the yet-to-be published covenant guidance treats charities.

"There will be plenty to discuss and we warmly welcome input from all those charitable organisations affected by the changes. Please complete the Doodle poll to express an interest and to choose a date that will best suit you. We look forward to you joining us."

If you have any queries, please email the CFG policy team.


Background and further resources

As useful background to the discussion, LCP have produced a webinar giving a general overview of the DB funding code and another focused specifically on the covenant aspects.

The Pensions Regulator (TPR) published its draft funding code of practice for defined benefit (DB) pensions schemes and a consultation document on 16 December 2022.

The 14-week consultation sets out that schemes will be expected to set a long-term objective and a journey plan to get there. It is expected that schemes will reduce reliance on their sponsoring employer as they reach maturity. It will require trustees to improve risk management and raise the bar for evidencing supportable risk taking.

The final regulations and code are currently planned to come into force in October 2023.

 

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