DC hot topic: Master trust authorisation

The law relating to master trust authorisation comes into full effect from 1 October 2018.  All DC master trusts must apply for authorisation by 1 April 2019, or wind up.

In order to be authorised by the Pensions Regulator (TPR), master trusts must demonstrate that they meet extensive criteria in a number of areas.  The Pension Schemes Act 2017 and related regulations set out the legal framework and tests associated with authorisation and ongoing supervision.  A separate Code of practice and TPR guidance fill lin some of the gaps to explain TPR’s proposed approach.  However, there are still some grey areas.  It is important to consider the Code alongside the detail of the legislation and the scheme’s own set-up in preparing an application for authorisation.

DC hot topic: Master trust authorisation