Comments from Matt Davis, Head of GMP Equalisation, Hymans Robertson:

“The industry will welcome this guidance which provides another piece of the GMP equalisation puzzle. As with previous industry guidance, choosing the right approach for data will depend on scheme specific circumstances rather than there being a recommended approach for all. The guidance highlights trade-offs between the cost and precision of different data approaches, which is an important practical consideration.

This guidance, alongside HMRC issuing GMP data cuts, means many schemes can make progress with data for GMP equalisation. Our experience is it is vital to take a structured approach to GMP equalisation given the complexity, noting that previous guidance has indicated that for many schemes GMP equalisation will take a few years.”