You will probably be aware that the DWP published a Green Paper last month called Sustainability and Security in Defined Benefit Pension Schemes
The Government invites comments by 14 May.
To some the document’s tone suggests that the Government is not looking to make any significant changes; but it is airing a lot of important issues, so it would be rash not to give voice to MNT views on them. It is therefore intended that AMNT will submit a response.
This should not deter members from responding individually; but you are invited in any case to let the Committee know what points you think the Association should make.
If you do so before 11 a.m. on 31 March – by e‑mail to email@example.com– your views can be taken into account in formulating questions for a survey of members that is planned to feed into a discussion at the AMNT Annual General meeting on 24 April.
The Green Paper includes an executive summary at pp. 5-8 of its printed text and a summary of consultation questions at pp. 95-99 of that text: the document is published on‑line atwww.gov.uk/government/uploads/system/uploads/attachment_data/file/595103/security-and-sustainability-in-defined-benefit-pension-schemes.pdf.
The main issues seem to be:
1. whether DB is affordable;
2. whether and (if so) how trustees’ investment decisions need to be systematically improved;
3. whether and (if so) how and in what circumstances, indexation of benefits should be restricted;
4. whether and (if so) how the consolidation of DB schemes should be incentivised or mandated;
5. whether the Pensions Regulator should be given further powers and (if so) what;
6. whether new legislation is needed about informing members of their schemes’ position.