NOW: Pensions comments on Master Trust Authorisation and supervision regime

FOR IMMEDIATE RELEASE 19 March 2018

Commenting on the government response to the public consultation, Troy Clutterbuck Interim CEO of NOW: Pensions said: “We have long campaigned for tighter regulation of master trusts and wholeheartedly support the new regulations being introduced to protect savers.

“While it’s essential that master trusts hold sufficient capital to meet the costs of wind up, I fear there is a risk of over-cooking the capital requirements. Master trusts are far from homogenous and the capital requirements need to be flexible enough to accommodate different providers’ business models.

“It is in nobody’s interest for master trusts to be over-capitalised as tying capital up in this way could stifle providers’ abilities to invest in improvements to member services.

“A comprehensive review of the Fraud Compensation Fund is essential as collectively, auto enrolment master trusts comprise just 3% of the sums at risk of fraud but are paying nearly a quarter of the levy – this cannot be right.”

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For further information:

Amy Mankelow / Cheriton Lee

NOW: Pensions

Tel: 0203 948 9234 / 0203 948 9236

amy.mankelow@nowpensions.com / cheriton.lee@nowpensions.com

 

Notes to editors

NOW: Pensions www.nowpensions.com @nowpensions

NOW: Pensions is one of the UK’s largest workplace pension providers with over a million members and tens of thousands of employers from a wide range of sectors. A company wholly owned by Danish pension scheme ATP; one of Europe’s largest pension funds. NOW: Pensions entered the UK market in 2011 with a simple and cost effective workplace pension designed specifically with the auto enrolment market in mind.

NOW: Pensions has a good technical infrastructure combined with a pension product suitable for our team. We couldn’t be happier with NOW: Pensions.
Martin Woods, SALT.agency