26th January 2016 Anne-Marie Winton comments in Pensions Week re PASA guidance urges schemes to prioritise GMP
Anne-Marie comments in Pensions Week in order to shed light on how schemes today are handling GMP reconciliation following the guidance provided by Pensions Administration Standards Association. The advice consists of defining the scope of the reconciliation exercise, reaching agreement on who is entitled to a contracted out benefit and using tolerances to prevent too much time and money being spent on the exercise.
Anne-Marie said many schemes were still taking a bit of an “ostrich approach” to GMP reconciliation, and you “almost have to get in a queue with HMRC to get your records sorted out”.
She also said schemes that were looking to complete a bulk annuity transaction or similar de-risking exercise would be more likely to have begun reconciliation in order to help with pricing for the exercise.
However, for those that are not “there’s probably some reluctance to prioritise it”.
Read the full article in Pensions Week here.
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