On the go: Industry professionals are “overwhelmingly positive” about the Pensions Regulator’s response to Covid-19, though they remain pessimistic about future prospects, according to a report from the Pensions Management Institute.
The PMI report, based on a survey of of 147 pension professionals carried out last month, found that 73 per cent of respondents were “satisfied with the actions of TPR over the past six months”, while 76 per cent felt the regulator’s advice to schemes during the coronavirus emergency had been “helpful”.
The survey also polled industry professionals on the prevalence of scams. As reported by Pensions Expert, the industry in general and TPR in particular have been alert to an uptick in scams and fraud as criminals look to exploit fears about financial security.
Despite this, the report found that 67 per cent of those polled “said that they had seen no noticeable increase to the level of scams in operation”.
While this will come as a welcome relief, the report added that the outlook for the future remains bleak. Though 70 per cent of respondents felt confident that TPR would “focus on the right areas” in the next six months, 60 per cent said they were pessimistic about the direction of pensions policy over the same period.
Causes for pessimism include an expected end to the triple lock, anticipated by 74 per cent of respondents, as well as changes to pensions tax relief and an accelerated increase in the state pension age – expected by 61 per cent and 24 per cent respectively – as the government looks to pensions as a source of fiscal savings.
Commenting on the report, PMI president Lesley Carline said: “Pensions policy has taken somewhat of a back seat during the current environment, while the government deals with the unprecedented challenges our society faces.
“The industry has been impressed by the agility of TPR with numerous guidance notes, as well as flexibility around deficit repair contributions.”
However, Ms Carline added: “Professionals are concerned with the delay to the pension schemes bill, and that schemes must be properly equipped in order to operate in the new world that we now find ourselves in.
“In particular, they must adapt to increasingly pressurised funding levels and the possibility of a no-deal Brexit.”
