Record keeping: prevention is better than the cure

    March 2010

    The Pensions Regulator's focus on governance continues. Last week saw the publication of e-learning modules for trustees on pension scheme record keeping. The Regulator is also consulting on proposals for regulations to improve standards of record keeping, with the promise that this will be a key focus throughout 2010 and beyond. The Regulator's 2009 governance survey showed a lack of awareness amongst trustees of the existing record keeping guidance, and less than half of schemes surveyed were very confident that they had appropriate internal controls in place to mitigate the risks from 'errors in scheme administration'. The Pension Protection Fund and the National Insurance Services to Pensions Industry are encountering significant problems with poor member data, and the Financial Services Authority is supporting the Regulator's stance. The clear message is that more needs to be done. The Regulator will undertake sampling of scheme data to assess the extent of data problems, and will decide at the end of this year whether further measures are required.