Partner Rosalind Connor comments in Pensions Expert in relation to the industry expecting the Pensions Regulator influx of clearance applications
Pensions Expert has reported that a survey of more than 100 pension professionals has found that, in light of the Pensions Regulator’s new criminal powers, 90.9 per cent of respondents expect an increase of clearance applications, 95.5 per cent thought the Pensions Regulator will issue penalties rather than pursue criminal convictions, 59.1 per cent said criminal sanctions were an appropriate deterrent and 95.5 per cent said the statement of intent will give trustees more bargaining power than they currently have.
Rosalind Connor commented:
“A lot of people think that criminal sanctions are not too much if someone is completely ignoring their responsibilities to a pension scheme, but I would not be surprised if people feel differently about these criminal sanctions, which are really broadly worded and mean that lots of people are at risk for normal activity and, more importantly for pension schemes, a lot of employers will find it difficult to get investors or lenders, or even customers because of the threat of the sanctions.”
“The statement of intent definitely gives the trustees more bargaining power because it means that they will be told about transactions earlier.”
Read Rosalind’s comments in Pensions Expert.
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