7 days

7 Days is a weekly round up of developments in pensions, normally published on Monday afternoons. We collate this information from key industry sources, such as the DWP, HMRC and TPR.

In this 7 Days

• FCA work on the advice guidance boundary continues with new “targeted support” proposed
• PPF to delay finalising 2025/26 levy determination
• PDP update on the MoneyHelper dashboard
• TPR publishes annual report and accounts
• TPR issues report on occupational DB and hybrid scheme landscape

FCA work on the advice guidance boundary continues with new “targeted support” proposed

On 12 December 2024, the FCA published a consultation paper on proposals for “targeted support” in pensions, as part of the wider Advice Guidance Boundary Review being undertaken by the FCA and the Government.  Targeted support is aimed at the gap between existing guidance-based services and more bespoke advice. It would allow firms to provide individuals with suggestions that have been developed for a group of consumers who share the same characteristics.

The consultation closes on 13 February 2025, with the FCA aiming to consult on detailed requirements with draft rules and guidance in the first half of 2025.

Through a separate discussion paper, the FCA is also seeking views on whether further changes might be needed to the regulatory framework to better support consumers, such as the use of digital tools, consolidation of pension pots and the rules around SIPPs. The FCA is asking for comments by 27 February 2025.

PPF to delay finalising 2025/26 levy determination

On 12 December 2024, the PPF confirmed that it has been “carefully considering all options” following its consultation on the draft 2025/26 levy rules, including reducing the levy further before any legislative change. To allow more time for this work, including engagement with the DWP, the PPF plans to publish its final rules by the end January 2025.

PDP update on the MoneyHelper dashboard

On 12 December 2024, the PDP announced that the MoneyHelper dashboard, the non-commercial dashboard being developed by MaPS, is moving to the next stages in development.  The PDP will continue to undertake user research while also inviting a limited number of people to use the service.  It is also developing “comprehensive plans” to involve pension providers and schemes in end-to-end testing of the service and is aiming to start this process from spring 2025.

TPR publishes annual report and accounts

TPR published its latest annual report and accounts on 12 December 2024, giving an overview of its performance during the 2023/24 business year.  While the vast majority of its key performance indicators were met or almost met, TPR was not able to meet one relating to implementing new elements of the PSA21 surrounding notifiable events.  These will be implemented “once government responds to the underlying regulations” it consulted on in 2021.

TPR issues report on occupational DB and hybrid scheme landscape

TPR published its annual overview of the occupational DB and hybrid scheme landscape on 11 December 2024.  Key findings include:

• as with previous years, the DB and hybrid landscape continues to shrink at a yearly rate of 3% on average. The number of schemes has reduced from 7,300 in 2012 to 5,190 in 2024
• membership in private DB and hybrid schemes has fallen by 2% since 2023 to 9,424,000, with only 12% of memberships in open schemes
• the percentage of schemes in surplus on a technical provisions basis is 80% in 2024 compared to 77% in 2023.