7 Days is a weekly round up of developments in pensions, normally published on Monday afternoons. We collate this information from key industry sources, such as the DWP, HMRC and TPR.
In this 7 Days
- Regulations introduce new reportable event for master trusts and MPAA information requirements
- Cabinet reshuffle – new appointments
- HMRC forms updated
- Director convicted of failing to provide information during BHS investigation
- Chair of TPR reappointed
- And finally… DB White Paper
The Registered Pension Schemes and Overseas Pension Schemes (Miscellaneous Amendments) Regulations 2018 were published on 9 January 2018.
These regulations make amendments to the Registered Pension Schemes (Provision of Information) Regulations 2006 and the Pension Schemes (Information Requirements for Qualifying Overseas Pension Schemes, Qualifying Recognised Overseas Pensions Schemes and Corresponding Relief) Regulations 2006.
In particular, they make minor changes to the information that a scheme administrator (generally, the trustees) must report to HMRC, as a result of the reduction of the money purchase annual allowance to £4,000 (from £10,000) effected by the Finance (No. 2) Act 2017.
The regulations also introduce a new reportable event when a scheme becomes, or ceases to be, a master trust scheme, and specify the time limits for providing the new information required to HMRC.
The regulations come into force on 30 January 2018 and are retrospective, having effect from the tax year 2017-18.
As part of the Cabinet reshuffle, MP for Tatton, Esther McVey, has been appointed Secretary of State for Work and Pensions, replacing David Gauke, who becomes Lord Chancellor and Secretary of State for Justice.
The Labour party has appointed Jack Dromey as shadow pensions minister, replacing Alex Cunningham who resigned in December 2017.
Various updates to pension scheme administration forms were published by HMRC on 9 January 2018:
- form APSS146E is used to apply for a certificate of residence for a registered pension scheme. The form can now also be used to request certification of tax reclaim forms from overseas tax authorities. The postal address to send the completed form to has changed
- for forms APSS146C (if using a third party to apply for a certificate of residence on your behalf, as legal owner of the scheme assets) and APSS146D (used to supply specimen signatures for a third party authorised to apply for a certificate of residence for a registered pension scheme), the address details have also been updated.
Dominic Chappell, the majority shareholder of the company that bought BHS from Sir Philip Green, has been convicted of failing to hand over information to TPR.
TPR had required him to supply information as part of its investigation into the sale and collapse of BHS, using powers under section 72 of the Pensions Act 2004. Mr Chappell also failed to provide TPR with information about a possible unauthorised disclosure of restricted material.
Mr Chappell was found guilty at Brighton Magistrates’ Court on 11 January 2018 of three charges of neglecting or refusing to provide information and documents without a reasonable excuse. The case was adjourned for sentencing until 19 January 2018.
The case is the fifth criminal conviction secured by TPR against individuals or organisations for failing to comply with section 72 notices. Nicola Parish, TPR’s Executive Director of Frontline Regulation, said “The power to demand specific information is a key investigative tool in our work to protect people’s pensions. This conviction shows that the courts recognise its importance and that anyone who fails to co-operate with our information notices risks getting a criminal record.”
TPR’s separate anti-avoidance action against Mr Chappell in respect of the BHS pension schemes is continuing.
On 9 January 2018, the DWP announced that Mark Boyle has been reappointed as Chair of TPR. He became Non-Executive Chair in April 2014; his renewed term will commence from 1 April 2018 for a 3 year period.
It now looks as if the DB White Paper, which is due to follow on from the Government’s Green Paper on DB private sector pensions, and which was originally expected by the end of February 2018, will be delivered later in the Spring, following statements made by Guy Opperman in Parliament last week.