TPR and The Statutory Transfer Process

Question 1

The Pension Regulator (TPR)

Answer 1

• Role and obligation of Trustees
• Required to take appropriate independent advice
• Setting Transfer Assumptions
• Checks regarding receiving scheme
• Communications

Question 2

Benefit Categories

Answer 2

FLEXIBLE BENEFITS SAFEGUARD BENEFITS
Money Purchase Any benefit not on left
Cash Benefits

Question 3

Statutory Right To Transfer

Answer 3

FLEXIBLE BENEFITS
- Receiving scheme may not accept GMP

SAFEGUARD BENEFITS

• Must be Uncrystallised pot
• All benefits in a category must be transferred
• Must be a deferred member
• More than 12 months to retirement (applied and received statement of entitlement)

Question 4

Appropriate Independent Advice

Answer 4

APPROPRIATE - Adviser / Firm appropriately authorised and regulated

INDEPENDENT - Not connected to the scheme or trustees

REQUIRED - where CETV, before any reduction is > £30,000

CHECK - Trustees must check that advice has been received

Question 5

Evidence of Advice: Provided to the Trustees

Answer 5

The evidence must be in writing from the adviser to the member confirming -

• The advice is specific to the transaction
• Required authorisations
• FCA reference number
• Name of the member and the scheme

Question 6

Timeline for Statutory Transfers

Answer 6

Day 1 - Member Applies for statement of entitlement

1 month - Trustees inform member of need to seek advice

3 month - Guarantee Date
within 10 days of guarantee date trustees provide statement of entitlement and inform member of deadline for receiving confirmation of advice

6 month - Deadline for member to apply for transfer in writing
- Deadline for member to prove independent advice within 3 months and 10 days of guarantee date

9 month - within 6 months of guarantee date , and having checked that independent advice has been received by member , trustees make transfer

Question 7

Statutory Transfer Process Client Timeline

Answer 7

Member applies for statement of entitlement

Member must apply for transfer to proceed , in writing , within 3 months of guarantee date

Within 3 months and 10 days of guarantee date , member must provide evidence of the independent advice received