personal finance

UK regulators unveil joint plan to protect savers


Regulators in the UK have unveiled a plan to ensure millions of retirement savers get better value for money on their pension investments.

On Thursday, the Financial Conduct Authority and Pensions Regulator said they would use their powers to drive value for money for members of pension schemes, including the “setting and enforcement of clear standards, where relevant.”

The focus on value for money was one of two areas identified as priorities for both regulators, as they set out a joint strategy for working more closely together. Currently, the FCA supervises contract based pension schemes and the Pensions Regulator supervises trust-based plans, with both covering tens of millions of savers.

The strategy, unveiled on Thursday, identified a number of areas both regulators would work on together going forward, including the two priority areas.

The first priority area, working to drive value for money for members of pension schemes, includes setting and enforcing clear standards and principles where relevant.

The second priority area is a strategic review of the entire consumer pensions journey — taking an in-depth look at what tools are needed to enable people to make considered decisions about their pensions.

“We have worked closely with TPR to produce a co-ordinated and cohesive strategy that will produce positive results for people in or approaching retirement,” said Christopher Woolard, the FCA’s executive director of strategy and competition.

“With the support and collaboration of the government, industry and consumers themselves, we can deliver an environment which contributes to people having higher incomes in their retirement.”

Lesley Titcomb, TPR’s chief executive, said: “The joint strategy further strengthens our close working relationship with the FCA so that through our new approach we can together address earlier any issues that threaten the retirement outcomes for pension savers.”



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