TPR's Statement of Strategy consultation response

Commenting in response to TPR’s interim response to the statement of strategy consultation, Laura McLaren, Head of DB Scheme Actuary Services Hymans Robertson, said:

“With the regulations and funding code going live for valuations, at last we know how TPR intends the statement of strategy to operate.

“Amidst widespread concerns the earlier proposals were disproportionate, inflexible and would be unduly onerous for schemes, we’re glad to see that TPR has taken that feedback on board. TPR has stuck with a suite of templates, but these are more streamlined with the detail it is proposing to collect scaled back. In an environment where an increasing number of DB schemes are well-funded and relatively low risk, the concessions directed at those in surplus and taking Fast Track are particularly welcome.

“Overall, the changes have moved the dial in the right direction. However, completing the (albeit improved) templates will still incur extra work as schemes need to set out plans and evidence in the format required. Example guides run to around 17 pages for Fast Track and 28 pages for Bespoke. Trustees and sponsors will need to factor this into upcoming valuation plans but at least now they have the certainty to meaningfully start to prepare.”