7 Days is a weekly round up of developments in pensions, normally published on Monday mornings. We collate this information from key industry sources, such as the DWP, HMRC and TPR.

In this 7 Days

TPR publishes new consolidation guidance for smaller DC schemes

In a blog published on 31 March 2026, TPR encourages trustees of smaller DC schemes to “urgently assess their future” ahead of forthcoming changes under the Pension Schemes Bill, including guided retirement and default fund scale requirements. Trustees will need to consider whether they will be able to meet the new requirements or “whether members would be better served through consolidation or wind up”.

To support trustees’ decision-making, TPR has published new guidance for smaller DC schemes (generally those with fewer than 5,000 members) on considerations when transferring to a master trust. It sets out TPR’s expectations around factors to consider, approaching and selecting a master trust, and preparing to transfer members. Case studies are included throughout the guidance to provide “real-life examples of smaller schemes successfully transferring to master trusts”. The consolidation guidance is accompanied by updated winding up guidance for trustees exploring that route.

TPR will continue to communicate with schemes “as secondary legislation develops, through sector-wide updates and targeted correspondence”.

Government’s response to report on IHT measures

The Government has published its response to recommendations made in a report of the Economic Affairs Finance Bill Sub-Committee in relation the changes to the IHT treatment of unused pension funds and death benefits from 6 April 2027.

The response gives an indicative timetable for regulations and guidance.  Draft regulations are expected to be published for technical consultation in spring 2026, which will allow personal representatives and pension schemes to “exchange all the necessary information for IHT purposes”. Guidance and other supporting materials will be developed over 2026 and shared with industry stakeholders in autumn/winter 2026/27, for publication in spring 2027.

HMRC plans to continue to engage with pension schemes as they integrate the new framework and guidance into their own processes.